This bill mandates the Commissioner of Labor and Workforce Development to establish a regional farm wage by averaging agricultural wage data from Pennsylvania, New York, and Delaware. The commissioner is required to transmit this regional farm wage to the Director of the Division of Taxation annually. The bill also introduces tax credits for farm employers, allowing them to receive credits against their corporation business tax (CBT) and gross income tax (GIT) based on the qualified compensation paid to their employees during the taxable period. Qualified compensation is defined as the difference between the compensation paid to each employee above the farm wage and the compensation that would have been paid had the employee received the regional farm wage.

Additionally, the bill stipulates that the tax credits cannot be less than zero and allows any unused credits to be carried forward for up to four privilege or taxable periods. The Director of the Division of Taxation will determine the application process for these tax credits. Overall, the bill aims to support farm employers by providing financial incentives linked to employee wages, while also ensuring that the regional farm wage is consistently updated based on neighboring states' data.