1. Short title This Act may be cited as the Local Journalism Sustainability Act . 2. Credit for local newspaper subscriptions (a) In general Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 25D the following new section: 25E. Local newspaper subscriptions (a) In general In the case of an individual, there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the applicable percentage of amounts paid or incurred for subscriptions to one or more local newspapers for the personal use of the taxpayer. (b) Annual dollar limitation The credit allowed under subsection (a) to any taxpayer for any taxable year shall not exceed $250. (c) Applicable percentage For purposes of this section, the term applicable percentage means— (1) in the case of the first taxable year to which this section applies, 80 percent, and (2) in the case of any subsequent taxable year, 50 percent. (d) Local newspaper For purposes of this section— (1) In general The term local newspaper means any print or digital publication if— (A) the primary content of such publication is news and current events, and (B) at least 51 percent of the readers of such publication (including both print and digital versions) reside in— (i) a single State or a single possession of the United States, or (ii) a single area with a 200-mile radius. (2) Continuous qualification The requirements of subparagraphs (A) and (B) of paragraph (1) shall not be treated as met unless such requirements are met at all times during the period beginning on the date which is 2 years before the date of the enactment of this section and ending on the date that the subscription described in subsection (a) is paid or incurred. (3) Application to certain organizations exempt from tax In the case of any print or digital publication which is published by any organization described in section 501(c) and exempt from tax under section 501(a)— (A) such publication shall