SB 1441

                                                   PRINTER'S NO.   1910
                THE GENERAL ASSEMBLY OF PENNSYLVANIA
                   SENATE BILL
                   No. 1441
                                             Session of
                                               2026
INTRODUCED BY FARRY, PICOZZI AND PENNYCUICK, AUGUST 19, 2026
REFERRED TO FINANCE, AUGUST 19, 2026
                                  AN ACT
1 Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
2    act relating to tax reform and State taxation by codifying
3    and enumerating certain subjects of taxation and imposing
4    taxes thereon; providing procedures for the payment,
5    collection, administration and enforcement thereof; providing
6    for tax credits in certain cases; conferring powers and
7    imposing duties upon the Department of Revenue, certain
8    employers, fiduciaries, individuals, persons, corporations
9    and other entities; prescribing crimes, offenses and
10    penalties," providing for youth activity participation tax
11    credit.
12    The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14    Section 1.     The act of March 4, 1971 (P.L.6, No.2), known as
15 the Tax Reform Code of 1971, is amended by adding an article to
16 read:
17ARTICLE XVII-M
18YOUTH ACTIVITY PARTICIPATION TAX CREDIT
19 Section 1701-M.    Scope of article.
20    This article relates to tax credits for youth activity
21 participation.
22 Section 1702-M.    Definitions.
23    The following words and phrases when used in this article
1 shall have the meanings given to them in this section unless the
2 context clearly indicates otherwise:
3    "Qualified child."    An individual who:
4(1)   Is under 18 years of age.
5(2)   Is a resident of this Commonwealth.
6(3)   Participates in a qualified youth activity.
7    "Qualified youth activity."     As follows:
8(1)   A voluntary team or individual-based activity,
9    youth-organization-sponsored activity or youth camp that
10    includes preparation for and involvement in public
11    performances, contests, athletic competitions,
12    demonstrations, displays, club activities and recreational,
13    nonprofessional competitive or scholastic sports programs.
14(2)   The term includes practices, lessons and training.
15    "Qualified youth activity participation expense."    As
16 follows:
17(1)   A cost incurred by a parent, guardian or grandparent
18    with primary custody of a qualified child that is necessary
19    for the qualified child's participation in a qualified youth
20    activity.
21(2)   The term includes costs related to necessary
22    equipment, uniforms, travel, training and lessons,
23    registration and participation fees and any other expense
24    required for participation.
25 Section 1703-M.    Youth activity participation tax credit.
26    (a)     Authorization.--Except as provided in subsection (b), a
27 resident taxpayer with at least one qualified child in the
28 household may claim a credit against tax under Article III equal
29 to the amount of qualified youth activity participation expenses
30 incurred by the resident taxpayer during a taxable year.
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1    (b)   Amount.--The amount of tax credit under this section may
2 not be more than $2,000 per qualified child.
3    (c)   Limitations.--
4(1)   A tax credit under this section may not be:
5(i)    refunded to a taxpayer; or
6(ii)    carried forward or backward to other taxable
7years.
8(2)   No more than one tax credit may be filed for each
9    qualified child in the household of a resident taxpayer.
10    (d)   Forms.--The department shall establish forms as may be
11 necessary for the administration of this section.
12 Section 1704-M.       Applicability.
13    This article shall apply to taxable years beginning after
14 December 31, 2026.
15    Section 2.        This act shall take effect immediately.
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