Business Profits Tax Expense Deductions

New Hampshire Legislative Events

Published March 17th, 2026

Detected April 3rd, 2026

Summary

New Hampshire HB1597 passed both chambers on March 17, 2026, amending state tax law to allow businesses to deduct Business Profits Tax expenses. The bill passed the House with an Ought to Pass recommendation (Vote 13-6) and received unanimous Senate committee approval (Vote 5-0) before reaching the Senate floor.

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What changed

New Hampshire HB1597 modifies the state's business profits tax regime by establishing a deduction for Business Profits Tax expenses paid or accrued by businesses. The bill was introduced December 10, 2025, referred to the House Ways and Means Committee, and after committee work sessions and a public hearing, received an Ought to Pass recommendation on January 28, 2026 (Vote 13-6). The Senate Ways and Means Committee later reported the bill as Ought to Pass with Amendment #2026-1322s on April 2, 2026.

Businesses operating in New Hampshire should review their current tax filings and consult with tax counsel to determine how this deduction may apply to their Business Profits Tax expense deductions. Tax preparers and business owners should monitor the implementation timeline and any additional guidance issued by the New Hampshire Department of Revenue Administration regarding the specific calculation and claiming procedures for the new deduction.

What to do next

Review HB1597 text to understand the specific deduction parameters
Consult with tax counsel regarding eligibility for Business Profits Tax expense deductions
Monitor New Hampshire Department of Revenue Administration guidance on implementation

Source document (simplified)

ChangeBridge / New Hampshire / HB1597 Passed HB1597 House Bill Passed 2026-03-17

Relative to business profits tax expense deductions.

Bill Details

State New Hampshire

Session 2026 Regular Session

Chamber House

Official Source gc.nh.gov/billstatus/legacy/bs2016/bills...

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Action History

2026-04-02 S Committee Report: Ought to Pass with Amendment # 2026-1322s, 04/09/2026; Vote 5-0; Consent Calendar; Senate Calendar 13 2026-03-25 S Hearing: 04/01/2026, Room 122-123, State House, 10:15 am; Senate Calendar 12 2026-03-17 S Introduced 03/12/2026 and Referred to Ways and Means; Senate Journal 7 2026-03-12 H Ought to Pass: Motion Adopted Voice Vote 03/12/2026 House Journal 8 2026-02-04 H Minority Committee Report: Inexpedient to Legislate 2026-02-04 H Majority Committee Report: Ought to Pass 01/28/2026 (Vote 13-6; Regular Calendar) House Calendar 10 P. 75 2026-01-23 H Executive Session: 01/28/2026 02:00 pm GP 154 2026-01-23 H Full Committee Work Session: 01/28/2026 01:00 pm GP 159 2026-01-21 H ==CANCELLED== Executive Session: 01/26/2026 02:00 pm GP 159 2026-01-21 H ==CANCELLED== Full Committee Work Session: 01/26/2026 01:00 pm GP 159 2026-01-14 H Public Hearing: 01/21/2026 10:00 am GP 154 2025-12-10 H Introduced 01/07/2026 and referred to Ways and Means House Journal 1 P. 27