H1864B2401A07004 BIL:JB 12/06/11 #90 A07004
AMENDMENTS TO HOUSE BILL NO. 1864
Printer's No. 2401
Amend Bill, page 1, line 10, by inserting after "providing"
Amend Bill, page 1, line 11, by inserting after "tax"
and for rate of tax
Amend Bill, page 1, lines 14 through 16, by striking out all
of said lines and inserting
Section 1. Section 2102 of the act of March 4, 1971 (P.L.6,
No.2), known as the Tax Reform Code of 1971, is amended by
adding a definition to read:
Section 2102. Definitions.--The following words, terms and
phrases, when used in this article, shall have the meanings
ascribed to them in this section, except where the context
clearly indicates a different meaning:
* * *
"Domestic partnership." A relationship between two
(1) are at least 18 years of age;
(2) are not related to each other by blood or marriage
within four degrees of consanguinity;
(3) are not married or in a civil union or domestic
partnership with another individual; and
(4) agree to be in a relationship of mutual interdependence
in which each individual contributes to the maintenance and
support of the other individual and the relationship, even if
both individuals are not required to contribute equally to the
* * *
Section 2. Section 2111 of the act is amended by adding a
subsection to read:
Amend Bill, page 2, by inserting between lines 3 and 4
Section 3. Section 2116(a) of the act, amended May 24, 2000
(P.L.106, No.23), is amended to read:
Section 2116. Inheritance Tax.--(a) (1) Inheritance tax
upon the transfer of property passing to or for the use of any
of the following shall be at the rate of four and one-half per
(i) grandfather, grandmother, father, mother, except
transfers under subclause (1.2), and lineal descendants; or
(ii) wife or widow and husband or widower of a child.
(1.1) Inheritance tax upon the transfer of property passing
to or for the use of a husband or wife shall be:
(i) At the rate of three per cent for estates of decedents
dying on or after July 1, 1994, and before January 1, 1995.
(ii) At a rate of zero per cent for estates of decedents
dying on or after January 1, 1995.
(1.2) Inheritance tax upon the transfer of property from a
child twenty-one years of age or younger to or for the use of a
natural parent, an adoptive parent or a stepparent of the child
shall be at the rate of zero per cent.
(1.3) Inheritance tax upon the transfer of property passing
to or for the use of a sibling shall be at the rate of twelve
(1.4) Inheritance tax upon the transfer of property passing
from an individual in a domestic partnership to or for the use
of the other individual in the domestic partnership shall be at
the rate of zero per cent for estates of decedents dying on or
after January 1, 2012. The department may require an individual
who asserts a domestic partnership under this subclause to
(i) An affidavit signed under penalty of perjury by two
individuals stating that they have established a domestic
(ii) Proof of any two of the following existing prior to
(A) Joint liability of the individuals for a mortgage, lease
(B) The designation of one of the individuals as the primary
beneficiary under a life insurance policy on the life of the
other individual or under a retirement plan of the other
(C) The designation of one of the individuals as the primary
beneficiary of the will of the other individual.
(D) A durable power of attorney for health care or financial
management granted by one of the individuals to the other
(E) Joint ownership or lease by the individuals of real
estate or a motor vehicle.
(F) A joint checking account, joint investments or a joint
(G) A joint renter's or homeowner's insurance policy.
(H) Coverage on a health insurance policy.
(I) Joint responsibility for child care, such as
guardianship or school documents.
(J) A relationship or cohabitation contract.
(2) Inheritance tax upon the transfer of property passing to
or for the use of all persons other than those designated in
subclause (1), (1.1), (1.2) [or], (1.3) or (1.4) or exempt under
section 2111(m) shall be at the rate of fifteen per cent.
(3) When property passes to or for the use of a husband and
wife with right of survivorship, one of whom is taxable at a
rate lower than the other, the lower rate of tax shall be
applied to the entire interest.
* * *
Amend Bill, page 2, line 4, by striking out "2" and inserting
Amend Bill, page 2, line 6, by striking out "3" and inserting