PRINTER'S NO. 1489
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1245
Session of
2017
INTRODUCED BY GROVE, RYAN, KEEFER, WARD, WARNER, McGINNIS,
KAUFFMAN, ROTHMAN, ZIMMERMAN, B. MILLER, COX, WHEELAND,
PHILLIPS-HILL AND SANKEY, APRIL 19, 2017
REFERRED TO COMMITTEE ON FINANCE, APRIL 19, 2017
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," in tax for education, further providing for
imposition of tax.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 202(e.1) and (g) of the act of March 4,
1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, are
amended and the section is amended by adding a subsection to
read:
Section 202. Imposition of Tax.--* * *
(e.1) (1) [Notwithstanding] Except as provided in
subsection (h), notwithstanding any other provision of this
article, the sale or use of prepaid mobile telecommunications
service evidenced by the transfer of tangible personal property
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shall be subject to the tax imposed by subsections (a) and (b).
(2) [The] Except as provided in subsection (h), the sale or
use of prepaid mobile telecommunications service not evidenced
by the transfer of tangible personal property shall be subject
to the tax imposed by subsections (a) and (b) and shall be
deemed to occur at the purchaser's billing address or the
location associated with the mobile telephone number or the
point of sale, whichever is applicable.
(3) [Notwithstanding] Except as provided in subsection (h),
notwithstanding clause (2), the sale or use of prepaid mobile
telecommunications service not evidenced by the transfer of
tangible personal property shall be taxed at the rate of six per
cent of the receipts collected on each sale if the service
provider elects to collect the tax imposed by this article on
receipts of each sale. The service provider shall notify the
department of its election and shall collect the tax on receipts
of each sale until the service provider notifies the department
otherwise.
* * *
(g) [Notwithstanding] Except as provided in subsection (h),
notwithstanding any other provisions of this article and in
accordance with the Mobile Telecommunications Sourcing Act (4
U.S.C. ยง 116), the sale or use of mobile telecommunications
services which are deemed to be provided to a customer by a home
service provider under section 117(a) and (b) of the Mobile
Telecommunications Sourcing Act shall be subject to the tax of
six per cent of the purchase price, which tax shall be collected
by the home service provider from the customer, and shall be
paid over to the Commonwealth as herein provided if the
customer's place of primary use is located within this
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Commonwealth, regardless of where the mobile telecommunications
services originate, terminate or pass through. For purposes of
this subsection, words and phrases used in this subsection shall
have the same meanings given to them in the Mobile
Telecommunications Sourcing Act.
(h) The sale or use of mobile telecommunications services
which are subject to tax under section 1101(a) shall not be
subject to a tax imposed under this section.
Section 2. This act shall take effect January 1, 2018.
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