SB 654 creates two new tax credits for businesses in New Hampshire. First, it offers a 20% credit on costs for on-site or nearby childcare services, up to $100,000 per year, for businesses housing childcare in their main building, shared facility, or adjacent buildings in the same park. Second, it provides a 20% credit on health insurance costs up to $10,000 per year per employee for workers with dependents whose work hours fall entirely between 9 a.m. and 3 p.m. on weekdays. Businesses must maintain childcare facilities for three years to keep the credit, with repayment required if they close the facility early, and credits can roll over for up to four years. The bill takes effect July 1, 2027.
HB 1659 creates a new optional property tax credit for veterans with a 100% service-connected disability rating, as certified by the U.S. Department of Veterans Affairs. Cities or towns can choose to adopt this credit, which would provide a tax credit ranging from $701 to $5,000 annually for qualifying veterans' primary homes (up to 10 acres). The credit replaces existing veteran tax exemptions and continues to a surviving spouse (if unmarried) or dependent children after the veteran's death. This applies only to veterans who own their homestead, excluding other property tax exemptions for military service.
HB 1494 increases the maximum allowable amounts for three optional local tax credits in New Hampshire: the veterans' credit ($750 → $1,000), combat service credit ($500 → $750), and surviving spouse credit ($2,000 → $2,500). These credits directly affect eligible veterans, active-duty service members in combat roles, and surviving spouses of service members killed in action. Municipalities must adopt the updated credit amounts (replacing the standard credits), and the surviving spouse credit now covers all property types (real and personal) in the resident's municipality. The changes take effect April 1, 2027, with no requirement for local re-adoption.
HB 1433 creates a tax credit for New Hampshire businesses that create or expand child care programs. Businesses can claim a credit equal to 50% of qualifying expenses for building new facilities or expanding existing ones by at least 12 child care seats not available before January 1, 2027. The credit applies against business profits or enterprise taxes and can be carried forward for up to four years if not fully used in a given year. To qualify, businesses must create or expand licensed child care seats (either directly or through third parties) and submit an application to the Department of Revenue Administration.
HB 1102 increases two key limits on New Hampshire's research and development (R&D) tax credit program. It raises the annual cap on total credits claimed by all businesses from $7 million to $10 million per fiscal year, and increases the maximum credit an individual business can claim from $50,000 to $100,000. This bill directly affects businesses conducting qualifying R&D activities in New Hampshire, allowing them to claim larger credits against their state business taxes. The changes take effect July 1, 2026, and do not require new state funding.
SB 635 establishes a tax credit program for New Hampshire employers that use health reimbursement arrangements (HRAs) instead of traditional group health insurance. Employers with more than one employee (classified as "qualified taxpayers") can claim a credit of up to $400 per covered employee in the first year (reducing to $200 in the second year), with annual limits of $20,000 per employer in year one and $10,000 in year two. The credit is applied against state tax liability, with a total annual cap of $10 million across all claims, and unused credits may be carried forward for up to three years. This policy directly affects employers transitioning to HRAs and aims to offset costs for covering employee health expenses through tax incentives.
SB 636 creates tax credits for small businesses facing increased costs due to federal tariffs. Qualifying businesses - manufacturers with fewer than 50 employees or non-manufacturers with average annual revenue under $500,000 - can claim a credit equal to 25% of documented tariff-related costs (e.g., via invoices or supplier certifications), up to $7,500 per business annually. The total state spending on these credits is capped at $8 million per fiscal year, with applications processed in order of receipt and prorated if the cap is exceeded. Unused credits may be carried forward for up to three years, but credits are non-refundable and applied first against business profits tax.
SB 637 creates a tax credit for New Hampshire grocery stores that purchase at least 10% of their products from registered local farms, requiring them to reduce prices on those items by 10%. The credit equals 10% of qualifying purchases and can offset the store’s business profits tax liability, with unused portions carryable for up to five years. Grocery stores must verify purchases from farms in a voluntary state registry and provide proof of price discounts. This policy directly affects grocery stores and supports New Hampshire farms by incentivizing local sourcing.
HB 1420 creates a temporary tax credit for businesses that advertise in qualifying local newspapers. The credit reduces a business's state tax liability based on the cost of local newspaper ads, with unused portions refundable without interest. To qualify, a newspaper must focus on local news (covering New Hampshire towns, cities, or counties), employ local journalists, and meet audience requirements - excluding political groups, large corporations, and non-local media. The credit applies to small businesses advertising in these local publications, aiming to support community journalism by lowering advertising costs for businesses.
SB 404 modifies New Hampshire's economic revitalization zone tax credit program. It increases the annual credit limit from $825,000 to $1,000,000 and raises the maximum credit per business from $40,000 to $50,000. Businesses creating new jobs in designated zones qualify for tax credits: 4-5% of wages for jobs paying up to 2.5x the state minimum wage, plus 5% of facility renovation costs (capped at $20,000 per job). The bill also extends zone reevaluation from every 5 to 8 years and adjusts carry-forward rules for unused credits. These changes directly affect businesses seeking tax incentives for job creation and facility investments in revitalization zones.
