1. Short title This Act may be cited as the Entertainments New Credit Opportunity for Relief & Economic Sustainability Act or the ENCORES Act . 2. Establishment of tax credit for ticket refunds issued by live event venues (a) In general Subject to subsections (b) and (c), for purposes of section 38 of the Internal Revenue Code of 1986, in the case of an eligible entity, the live event refund credit shall be treated as a credit listed at the end of subsection (b) of such section. For purposes of this subsection, the live event refund credit shall be an amount equal to 50 percent of any qualified ticket refund made by the eligible entity during the period— (1) beginning on January 31, 2020, and (2) ending on the date of enactment of this Act. (b) Limited carryback of credit In the case of the live event refund credit allowed under subsection (a)— (1) at the election of the eligible entity— (A) such credit shall not be applied to the taxable year in which the qualified ticket refunds were made by such taxpayer and the amount of the credit with respect to such refunds shall be reduced to zero for such taxable year, and (B) the amount of such credit shall be a live event refund credit carryback to either of the 2 taxable years preceding such taxable year, and (2) section 39 of the Internal Revenue Code of 1986 shall not apply with respect to such credit. (c) Credit made available to tax exempt entities (1) In general In the case of an eligible entity which is an organization described in section 501(c) of the Internal Revenue Code of 1986 which is exempt from taxation under section 501(a) of such Code, there shall be treated as a credit allowable under subpart C of part IV of subchapter A of chapter 1 of such Code (and not allowable under subpart D of such part) the lesser of— (A) the amount of the credit determined under subsection (a) with respect to such entity, or (B) the amount of the payroll taxes (as defined in section 45R(f)(3) of such Code) of such entity during the calendar year in which the taxable year