An Act To Create a Credit under the Commercial Forestry Excise Tax for Landowners Using Businesses Based in the United States
Maine Legislature, Session 129, LD 0268
Committee Amendment CA_A_S218 (Senate)
Amends: 36 MRSA §2729

COMMITTEE AMENDMENT ''rt "to S.P. 80, L.D. 268, Bill, "An Act To Create a 
Credit under the Commercial Forestry Excise Tax for Landowners Using Businesses 
Based in the United States" 
Amend the bill by striking out everything after the enacting clause and inserting the 
following: 
'Sec. 1. 36 MRSA §2729 is enacted to read: 
§2729. Credit 
1. 
Purpose. 
It is the public policy of this State, as a market participant in 
commercial forestry. to make a credit available to those taxed under this chapter. The 
credit is an incentive to promote fair and just commercial forestry in the State, preserve 
numerous opportunities for jobs for people of the State and ensure the preservation of an 
improved economy in the State and for its people. 
2. Credit. An owner of commercial forest land subject to tax under this chapter is 
entitled to an annual credit equal to 100% of the taxes assessed under this chapter if the 
landowner meets the conditions specified in subsection 3. 
3. Conditions of eligibility. A landowner subject to tax under this chapter is eligible 
for a credit under this section if the landowner demonstrates to the State Tax Assessor 
that all businesses, including forest road construction and trucking businesses, and 
contractors. including subcontractors, hired or retained by the landowner in the harvesting 
of timber on commercial forest land owned by the landowner are based in the United 
States and that the landowner has obtained from each business and contractor affidavits 
stating that: 
A. At least 7 5% of the employees of the business or contractor are residents of the 
United States; and 
B. The business or contractor is current in the payment of all taxes due the State or 
political subdivisions of the State, including, but not limited to, payroll taxes, 
unemployment taxes and personal property taxes. 
This paragraph may not be 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" f+"to S.P. 80,L.D. 268,. ,·_ .. (I~)) 
construed to require a business or contractor employed by the landowner in the 
harvesting of timber to be assessed personal property taxes in order for the landowner 
to be eligible for a credit under this section. 
A landowner claiming a credit under this section shall send a copy of the affidavits 
required under this subsection to the State Tax Assessor and to the Department of Labor. 
4. Recapture. If the State Tax Assessor fmds, after a credit under this section has 
been granted, that the landowner claiming the credit did not meet the conditions required 
under subsection 3 or that statements made in affidavits required under subsection 3 are 
untrue, the State Tax Assessor shall rescind the credit and shall recapture the credit 
granted by issuing a supplemental assessment against the landowner in accordance with 
section 141, subsection l.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment requires a landowner seeking the credit against the commercial 
forestry excise tax to obtain affidavits indicating that businesses or contractors retained 
by the landowner are based in the United States, that at least 75% of their employees are 
United States residents and that they are current in the payment of all state and local 
taxes. It makes other technical changes to the bill. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/25/19 feac:.. 
LD268 
LR 68(02) 
An Act To Create a Credit under the Commercial Forestry Excise Tax for Landowners Using 
Businesses Based in the United States 
Net Cost (Savings) 
General Fund 
levenue 
General Fund 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment "A'(_ S-9-lt'~ 
Committee: Taxation 
, 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2019-20 
FY 2020-21 
Projections 
FY 2021-22 
Projections 
FY 2022-23 
$2,000,000 
$2,000,000 
$2,000,000 
$2,000,000 
($2,000,000) 
($2,000,000) 
($2,000,000) 
($2,000,000) 
The bill provides a credit against the commercial forestry excise tax and would result in an annual reduction in 
General Fund revenue of $2,000,000 beginning in fiscal year 2019-20. 
LR0068(02) - Fiscal Note - Page l of l