PRIOR PRINTER'S NOS. 33, 2173, 2317 PRINTER'S NO. 2361
No. 31 Session of 1989
Report of the Committee of Conference
To the Members of the House of Representatives and Senate:
We, the undersigned, Committee of Conference on the part of
the House of Representatives and Senate for the purpose of
considering House Bill No. 31, entitled:
"An act amending the act of April 9, 1929 (P.L.343, No.176),
entitled, as amended, 'An act relating to the finances of the
State government; providing for the settlement, assessment,
collection, and lien of taxes, bonus, and all other accounts due
the Commonwealth, the collection and recovery of fees and other
money or property due or belonging to the Commonwealth, or any
agency thereof, * * *, authorizing the Commonwealth to issue tax
anticipation notes to defray current expenses, implementing the
provisions of section 7(a) of Article VIII of the Constitution
of Pennsylvania authorizing and restricting the incurring of
certain debt and imposing penalties; * * *,' requiring the Board
of Finance and Revenue to issue written opinions to accompany
its decisions," and further providing for requisitions out of
any fund in the State Treasury.
respectfully submit the following bill as our report:
ROBERT W. O'DONNELL
MAX PIEVSKY
MATTHEW J. RYAN
(Committee on the part of the House of Representatives.)
RICHARD A. TILGHMAN
F. JOSEPH LOEPER
VINCENT J. FUMO
(Committee on the part of the Senate.)
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AN ACT
1 Amending the act of April 9, 1929 (P.L.343, No.176), entitled,
2 as amended, "An act relating to the finances of the State
3 government; providing for the settlement, assessment,
4 collection, and lien of taxes, bonus, and all other accounts
5 due the Commonwealth, the collection and recovery of fees and
6 other money or property due or belonging to the Commonwealth,
7 or any agency thereof, including escheated property and the
8 proceeds of its sale, the custody and disbursement or other
9 disposition of funds and securities belonging to or in the
10 possession of the Commonwealth, and the settlement of claims
11 against the Commonwealth, the resettlement of accounts and
12 appeals to the courts, refunds of moneys erroneously paid to
13 the Commonwealth, auditing the accounts of the Commonwealth
14 and all agencies thereof, of all public officers collecting
15 moneys payable to the Commonwealth, or any agency thereof,
16 and all receipts of appropriations from the Commonwealth,
17 authorizing the Commonwealth to issue tax anticipation notes
18 to defray current expenses, implementing the provisions of
19 section 7(a) of Article VIII of the Constitution of
20 Pennsylvania authorizing and restricting the incurring of
21 certain debt and imposing penalties; affecting every
22 department, board, commission, and officer of the State
23 government, every political subdivision of the State, and
24 certain officers of such subdivisions, every person,
25 association, and corporation required to pay, assess, or
26 collect taxes, or to make returns or reports under the laws
27 imposing taxes for State purposes, or to pay license fees or
28 other moneys to the Commonwealth, or any agency thereof,
29 every State depository and every debtor or creditor of the
30 Commonwealth," requiring the Board of Finance and Revenue to
31 issue written opinions to accompany its decisions; and
32 providing for shares tax appeals.
33 The General Assembly of the Commonwealth of Pennsylvania
34 hereby enacts as follows:
35 Section 1. The act of April 9, 1929 (P.L.343, No.176), known
36 as The Fiscal Code, is amended by adding sections to read:
37 Section 503.1. Written Decisions.--(a) Whenever the Board
38 of Finance and Revenue grants or denies a petition for review or
39 a petition for refund, in whole or in part, the board shall
40 provide written notice of the decision to the petitioner. If the
41 decision denies a petition in whole or in part, the written
42 notice shall advise the petitioner of the procedure by which the
43 petitioner may obtain a written order pursuant to this section.
44 (b) Whenever the board denies a petition for review or a
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1 petition for refund, in whole or in part, the board, at the
2 petitioner's request, shall issue a written order which sets
3 forth the decision on the petition, summarizes the relevant
4 factual and legal issues and explains the rationale upon which
5 the decision is based. For purposes of an appeal from a decision
6 of the board, the board shall not be deemed to have issued a
7 final order until it has issued the written order requested by
8 the petitioner.
9 (c) In addition to the requirements of subsections (a) and
10 (b), the board, with the approval of a majority of its members,
11 shall permit the publication of any significant decision which
12 grants or denies a petition for review or a petition for refund
13 in whole or in part. Prior to such publication, the board shall
14 edit the decision to delete any confidential tax information.
15 The disclosure of any remaining information shall be deemed not
16 to violate section 731 of this act. In determining if a decision
17 is significant for the purposes of this subsection, the board
18 shall consider the following:
19 (1) Whether the decision is one of first impression for the
20 board.
21 (2) Whether the decision is contrary to prior board
22 decisions.
23 (3) Whether the decision reverses Department of Revenue
24 policy.
25 (4) Whether the decision involves a unique legal issue or
26 factual situation.
27 (5) Whether the decision could reduce the number of
28 potential petitions in the future by setting forth the board's
29 position on a particular issue.
30 (6) Whether the decision could serve an educational purpose
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1 by providing guidance regarding tax matters.
2 (7) Whether the decision could have a substantial fiscal
3 impact for the Commonwealth.
4 Section 1104.1. Exclusive Appeal Procedure; Shares Taxes.--
5 (a) A taxpayer may file a petition for refund with the Board of
6 Finance and Revenue concerning the payment of the tax imposed by
7 Article VII or VIII of the act of March 4, 1971 (P.L.6, No.2),
8 known as the "Tax Reform Code of 1971," within two (2) years of
9 the date of payment of the tax or the settlement of the tax,
10 whichever period last expires.
11 (b) Upon sufficient cause shown by a taxpayer that the
12 payment of the tax settled against the taxpayer under Article
13 VII or VIII of the "Tax Reform Code of 1971" would irreparably
14 harm the taxpayer, the Board of Finance and Revenue may, by a
15 majority vote of the members, take jurisdiction of a petition
16 challenging the settlement of the tax without the tax being
17 paid.
18 (c) Notwithstanding any provision of this act, the "Tax
19 Reform Code of 1971," or any other law to the contrary, the
20 procedure set forth in this section shall constitute the
21 exclusive method by which any appeal from the settlement of the
22 tax imposed by Article VII or VIII of the "Tax Reform Code of
23 1971" may be made.
24 Section 2. The provisions of section 1 (relating to section
25 1104.1) shall apply to taxes imposed for calendar year 1989 and
26 each calendar year thereafter.
27 Section 3. This act shall take effect as follows:
28 (1) Sections 1 (relating to section 1104.1) and 2 shall
29 take effective immediately.
30 (2) The remainder of this act shall take effect in 60
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1 days.
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