PRINTER'S NO. 4346
No. 2870 Session of 2002
INTRODUCED BY LAWLESS, BELFANTI, DALEY, HANNA, JAMES, MANN,
S. MILLER, READSHAW, SAINATO, STABACK, TIGUE, G. WRIGHT,
BROWNE, GEORGE, HARHAI, LESCOVITZ, MARKOSEK, PISTELLA,
RUBLEY, SCHRODER, STETLER, WANSACZ AND YOUNGBLOOD,
SEPTEMBER 30, 2002
REFERRED TO COMMITTEE ON FINANCE, SEPTEMBER 30, 2002
AN ACT
1 Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
2 act relating to tax reform and State taxation by codifying
3 and enumerating certain subjects of taxation and imposing
4 taxes thereon; providing procedures for the payment,
5 collection, administration and enforcement thereof; providing
6 for tax credits in certain cases; conferring powers and
7 imposing duties upon the Department of Revenue, certain
8 employers, fiduciaries, individuals, persons, corporations
9 and other entities; prescribing crimes, offenses and
10 penalties," further providing for classes of income.
11 The General Assembly of the Commonwealth of Pennsylvania
12 hereby enacts as follows:
13 Section 1. Section 303(a) of the act of March 4, 1971
14 (P.L.6, No.2), known as the Tax Reform Code of 1971, is amended
15 by adding a clause to read:
16 Section 303. Classes of Income.--(a) The classes of income
17 referred to above are as follows:
18 * * *
19 (9) Notwithstanding any other provision of this subsection,
20 the following shall not be considered as income for purposes of
1 this act: Any amount of Pennsylvania income attributable to
2 earnings or distributions from a qualified tuition program, as
3 defined in section 529 of the Internal Revenue Code of 1986
4 (Public Law 99-514, 26 U.S.C. § 529), as amended, and in effect
5 for the taxable year, provided that any distributions are used
6 to pay for qualified educational expenses, as defined in section
7 529.
8 * * *
9 Section 2. This act shall take effect in 60 days.
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