HB 2201 — An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in personal income tax, further providing for definitions and providing for physical health improvement tax credit.

PRINTER'S NO.   2894

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 2201
                                               Session of
                                                 2026

     INTRODUCED BY HOGAN, M. BROWN, CIRESI, ROWE AND KUTZ,
        FEBRUARY 6, 2026

     REFERRED TO COMMITTEE ON FINANCE, FEBRUARY 9, 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," in personal income tax, further providing for
11      definitions and providing for physical health improvement tax
12      credit.
13      The General Assembly of the Commonwealth of Pennsylvania
14   hereby enacts as follows:
15      Section 1.    Section 301 of the act of March 4, 1971 (P.L.6,
16   No.2), known as the Tax Reform Code of 1971, is amended by
17   adding subsections to read:
18      Section 301.    Definitions.--Any reference in this article to
19   the Internal Revenue Code of 1986 shall mean the Internal
20   Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 1 et seq.),
21   as amended to January 1, 1997, unless the reference contains the
22   phrase "as amended" and refers to no other date, in which case
23   the reference shall be to the Internal Revenue Code of 1986 as
 1   it exists as of the time of application of this article. The
 2   following words, terms and phrases when used in this article
 3   shall have the meaning ascribed to them in this section except
 4   where the context clearly indicates a different meaning:
 5         * * *
 6         (o.6)    "Qualified sports and fitness expenses" means as
 7   follows:
 8         (1)    Amounts paid exclusively for the sole purpose of
 9   participating in a physical activity, including for membership
10   at a fitness facility and for participation or instruction in
11   physical exercise or physical activity.
12         (2)    The term does not include any amount paid for:
13         (i)    videos, books or similar materials;
14         (ii)    remote or virtual instruction in a physical exercise or
15   physical activity, unless such instruction is live; or
16         (iii)    one-on-one personal training.
17         (o.7)    "Fitness facility" means a facility:
18         (1)    that provides instruction in a program of physical
19   exercise, offers facilities for the preservation, maintenance,
20   encouragement or development of physical fitness or serves as
21   the site of a similar program of a state or local government;
22         (2)    that is not a private club owned and operated by the
23   club's members;
24         (3)    that does not offer golf, hunting, sailing or riding
25   facilities;
26         (4)    for which the facility's health or fitness component is
27   not incidental to the facility's overall function and purpose;
28   and
29         (5)    that is fully compliant with Federal and State anti-
30   discrimination laws.

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 1      * * *
 2      Section 2.    The act is amended by adding a section to read:
 3      Section 314.1.    Physical Health Improvement Tax Credit.--(a)
 4   Except as provided under subsection (b), a resident individual
 5   taxpayer may claim a credit against tax under this article equal
 6   to the amount of qualified sports and fitness expenses incurred
 7   by the resident taxpayer during a taxable year.
 8      (b)   (1)   For a resident individual taxpayer whose tax
 9   liability under this article is determined on a separate basis,
10   the amount of tax credit under this section may not be more than
11   five hundred dollars ($500).
12      (2)   For a resident individual taxpayer who filed a joint
13   return with another resident individual taxpayer, the aggregate
14   amount of tax credit under this section for the resident
15   individual taxpayers who file the joint return may not be more
16   than one thousand dollars ($1,000).
17      (c)   A tax credit under this section may not be refunded to a
18   taxpayer and may not be carried forward or backward to other
19   taxable years.
20      (d)   The department shall establish forms as necessary for
21   the administration of this section.
22      Section 3.    This act shall apply to taxable years beginning
23   after December 31, 2024.
24      Section 4.    This act shall take effect immediately.




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