PRINTER'S NO. 2352
No. 1911 Session of 1977
INTRODUCED BY KERNICK, SCHMITT, WISE, O'CONNELL, SCIRICA, E. H. SMITH, WEIDNER, KLINGAMAN, HARPER, GILLETTE, SCHWEDER, COWELL, ABRAHAM, TRELLO, MISCEVICH, DUFFY, HASAY, LEVI, FISCHER, HELFRICK, CESSAR AND HASKELL, NOVEMBER 23, 1977
REFERRED TO COMMITTEE ON FINANCE, NOVEMBER 23, 1977
AN ACT 1 Amending the act of June 15, 1961 (P.L.373, No.207), entitled 2 "An act providing for the imposition of certain taxes upon 3 the transfer of property passing from a decedent who was a 4 resident of the Commonwealth at the time of his death or 5 presumed death and of property having its situs in the 6 Commonwealth of a decedent who was a nonresident of the 7 Commonwealth at the time of his death or presumed death; 8 imposing additional taxes to equal Federal Estate Tax 9 Credits; defining and taxing certain transfers made in 10 contemplation of death, or to take effect in possession or 11 enjoyment at or after death; defining as a transfer and 12 taxing the right of survivorship in certain property as to 13 which such right exists; defining and exempting from tax, 14 transfers to certain persons or for certain purposes or of 15 certain property; providing for the valuation of property and 16 interests in property, the transfer of which is subject to 17 tax; defining and allowing deductions from the value of 18 property, the transfer of which is subject to tax; providing 19 for the persons ultimately liable for taxes in the absence of 20 a direction by the decedent to the contrary; providing for 21 the reporting of transfers and collection of taxes; imposing 22 penalties upon banks or other financial institutions for 23 failure to give notice to the Department of Revenue of the 24 death of a party to a joint or trust deposit therein and upon 25 persons who fail to file tax returns and documents; providing 26 for the compromise of taxes in the case of alleged 27 nonresidents of the Commonwealth; making it unlawful for any 28 person to make a false return or report; providing for liens 29 upon real property, the transfer of which is subject to tax, 30 and release thereof; authorizing the Secretary of Revenue to 31 bring suits in other jurisdictions for the collection of 32 taxes, and authorizing officials of other jurisdictions to
1 bring suits in the Commonwealth for the collection of death 2 taxes imposed by their jurisdictions; providing for the 3 refund of taxes to which the Commonwealth is not rightfully 4 or equitably entitled; providing for appeals and protests 5 from the imposition of taxes; regulating the entry into safe 6 deposit boxes of a decedent by certain persons, and providing 7 penalties; dealing with the jurisdiction, powers and 8 procedure of the orphans' court, Secretary of Revenue, 9 Department of Revenue, Attorney General, and register of 10 wills in matters relating to taxes; and citing certain acts 11 for repeal," providing for the exclusion from taxation of 12 certain transfers to a surviving spouse. 13 The General Assembly of the Commonwealth of Pennsylvania 14 hereby enacts as follows: 15 Section 1. Section 311, act of June 15, 1961 (P.L.373, 16 No.207), known as the "Inheritance and Estate Tax Act of 1961," 17 is amended to read: 18 Section 311. (a) Husband and Wife.--Property owned by 19 husband and wife with right of survivorship is exempt from 20 inheritance tax. If, however, such ownership was created in 21 contemplation of death, within the meaning of section 222 of 22 this act, the entire interest so transferred shall be subject to 23 tax under section 222 as though a part of the estate of the 24 spouse who created the co-ownership, except as provided in 25 subsection (b). 26 (b) The first sixty thousand dollars ($60,000) of property 27 owned by the decedent transferred to the surviving spouse is 28 exempt from inheritance tax. 29 Section 2. This act shall take effect immediately and shall 30 apply to: 31 (1) The estates of all decedents dying on or after the date 32 six months from the date of final enactment of this amendatory 33 act. 34 (2) Inter vivos transfers made by decedents dying on or 35 after the date six months from the date of final enactment of 19770H1911B2352 - 2 -
1 this amendatory act. H3L56CVV/19770H1911B2352 - 3 -