West Chester, PA (July 28, 2026) – Beginning August 1, farmers, businesses, and landowners can apply for tax credits for equipment and projects that improve soil health and water quality, state Senator Carolyn Comitta announced.
Through the Pennsylvania Department of Agriculture’s Resource Enhancement & Protection (REAP) Program, $13 million in total tax credits are available to help pay for farm enhancements that protect the environment and profitability, as well as their ability to pass a sustainable farm down to the next generation.
“Farmers work closely with our environment, and this program can help them lead the way in boosting innovation, conservation, and their bottom lines,” said Comitta, who serves on the Senate Agricultural and Rural Affairs Committee. “REAP has been a Pennsylvania success story in promoting investment in environmentally friendly upgrades that support clean water, healthy soil, and sustainable agriculture.”
REAP helps agricultural producers implement best management practices or purchase equipment to reduce nutrient and sediment runoff, enhance soil health and improve water quality across the mid-Atlantic region. Eligible projects include purchasing no-till planting equipment or precision nutrient application equipment, constructing manure storage structures, planting cover crops or forested riparian buffers, establishing grazing practices, excluding livestock from streams, and more.
“More than ever, Pennsylvania farmers are investing their own resources in cleaner water and productive soil to sustain us in the future,” Pennsylvania Agriculture Secretary Russell Redding said. “Their dollars, multiplied by support from historic levels of investment under the Shapiro Administration, are paying off in the form of healthier waterways and a greener future for Pennsylvania farms and communities.”
REAP provides tax credits at 50%, 75%, or 90% of costs incurred for implementing BMPs that reduce nitrogen, phosphorus, and sediment pollution. Credits are issued after a practice is installed or eligible equipment is purchased.
REAP credits can also be combined with other state funding, including the Agriculture Conservation Assistance Program, and Conservation Excellence Grants, as well as federal funding.
Pennsylvania’s State Conservation Commission, a partnership of the Pennsylvania Departments of Agriculture and Environmental Protection, is accepting applications for REAP tax credits beginning August 1. In addition, through REAP’s sponsorship program, another business could help finance a project and apply for the tax credit instead of the producer.
REAP tax credits are awarded on a first-come, first-served basis until funds are exhausted. Baseline eligibility includes compliance with the PA Clean Streams Law and the Pennsylvania Nutrient and Odor Management Law.
Due to the program’s popularity, funds may run out before the October 31, 2026, application deadline.
Since REAP’s inception in 2007, Pennsylvania has awarded over $200 million in state income tax credits to farmers and businesses for more than 10,000 projects on approximately 4,000 farms.
Improvements from these projects have kept 8 million pounds of nitrogen, 500,000 pounds of phosphorus, and 400,000 tons of sediment out of Pennsylvania streams, rivers, and the waterways they feed.
###