This bill allows municipalities to implement a volunteer incentive property tax credit specifically for veterans and elderly residents who engage in volunteer work. The new section, RSA 72:39-c, establishes that cities and towns can adopt or rescind this tax credit, which is set at a maximum of $7.25 per hour of volunteer service, with a cap of $1,500 in total property tax credits for each resident. Eligible individuals include veterans, their spouses, surviving spouses, and elderly residents aged 65 or older, provided they meet certain residency requirements. The bill also mandates that municipalities maintain records of volunteer service hours and the corresponding tax credits accrued by participants.

Additionally, the bill amends existing laws to incorporate references to the new tax credit. Specifically, it adds RSA 72:39-c to various sections of the property tax statutes, ensuring that the definitions and procedures related to property taxes include this new incentive. The bill clarifies that the tax credits received for volunteer services will not be considered income for state taxation purposes. The act is set to take effect on April 1, 2026.

Statutes affected:
Introduced: 72:27-a, 72:29, 72:33, 72:36