H1960B2247A04084 LKK:EJH 04/22/22 #90 A04084
AMENDMENTS TO HOUSE BILL NO. 1960
Sponsor: REPRESENTATIVE SAYLOR
Printer's No. 2247
Amend Bill, page 1, lines 1 through 11, by striking out all
of said lines and inserting
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 corporate net income tax, further providing
for definitions and for imposition of tax and providing for
certifications and publications.
Amend Bill, page 2, line 29, by inserting a bracket before
"For"
Amend Bill, page 2, line 29, by inserting after "For"
] Except as provided under units (IX) or (X), for
Amend Bill, page 3, lines 2 through 13, by striking out all
of said lines and inserting
(IX) If the condition under section 408.2(c)(1) is certified
by the Independent Fiscal Office as having been met:
(1) Except as provided under unit (2), for taxable years
beginning after December 31, 2023, forty-five per cent of
taxable income as determined under subclause 1 or, if
applicable, subclause 2;
(2) If the condition under section 408.2(c)(2) is certified
by the Independent Fiscal Office as having been met, for taxable
years beginning after December 31, 2024, fifty per cent of
taxable income as determined under subclause 1 or, if
applicable, subclause 2;
(X) If the condition under section 408.2(c)(1) is not
certified by the Independent Fiscal Office as having been met
2022/90LKK/HB1960A04084 - 1 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
and if the condition under section 408.2(c)(2) is certified by
the Independent Fiscal Office as having been met, for taxable
years beginning after December 31, 2024, forty-five per cent of
taxable income as determined under subclause 1 or, if
applicable, subclause 2; or
Amend Bill, page 5, line 7, by inserting a bracket before
"Forty"
Amend Bill, page 5, line 7, by inserting after "Forty"
] Except as provided under unit (IX) or (X), forty
Amend Bill, page 5, lines 10 through 22, by striking out all
of said lines and inserting
(IX) If the condition under section 408.2(c)(1) is certified
by the Independent Fiscal Office as having been met:
(1) Except as provided under unit (2), forty-five per cent
of taxable income as determined under subclause 1 or, if
applicable, subclause 2 for taxable years beginning after
December 31, 2023.
(2) If the condition under section 408.2(c)(2) is certified
by the Independent Fiscal Office as having been met, fifty per
cent of taxable income as determined under subclause 1 or, if
applicable, subclause 2 for taxable years beginning after
December 31, 2024.
(X) If the condition under section 408.2(c)(1) is not
certified by the Independent Fiscal Office as having been met
and if the condition under section 408.2(c)(2) is certified by
the Independent Fiscal Office as having been met, forty-five per
cent of taxable income as determined under subclause 1 or, if
applicable, subclause 2 for taxable years beginning after
December 31, 2024.
Section 2. Section 402(b) of the act is amended and the
section is amended by adding a subsection to read:
Section 402. Imposition of Tax.--* * *
(b) The annual rate of tax on corporate net income imposed
by subsection (a) for taxable years beginning for the calendar
year or fiscal year on or after the dates set forth shall be as
follows:
Taxable Year Tax Rate
January 1, 1995, [and
each taxable year
thereafter] through
December 31, 2022 9.99%
Except as otherwise
provided under
subsection (d),
January 1, 2023, and
each taxable year
2022/90LKK/HB1960A04084 - 2 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
thereafter 8.99%
* * *
(d) The following shall apply to the tax rate under this
article:
(1) The Secretary of the Budget shall consult with the
Independent Fiscal Office in producing the certification under
section 1702-A(b) of the act of April 9, 1929, (P.L.343,
No.176), known as "The Fiscal Code," for fiscal year 2022-2023
and fiscal year 2023-2024. The certification under this
paragraph shall be prepared in a way that is subject to complete
and thorough oversight by the Appropriations Committee of the
Senate and the Appropriations Committee of the House of
Representatives with full knowledge of all data, assumptions and
econometric models which were used to develop the certification.
(2) Upon making a certification under paragraph (1), the
Secretary of the Budget shall submit official copies of the
certification to the Independent Fiscal Office, the chair and
minority chair of the Appropriations Committee of the Senate and
the chair and minority chair of the Appropriations Committee of
the House of Representatives and to the Legislative Reference
Bureau for publication in the Pennsylvania Bulletin.
(3) If the Independent Fiscal Office confirms the amount of
surplus in the General Fund which is certified under paragraph
(1), the Independent Fiscal Office shall transmit to the
Legislative Reference Bureau a notice for publication in the
Pennsylvania Bulletin. The notice shall include the amount of
the surplus certified and whether the following conditions have
been met:
(i) Whether the surplus for the 2022-2023 fiscal year was
more than five hundred million dollars ($500,000,000).
(ii) Whether the surplus for the 2023-2024 fiscal year was
more than five hundred million dollars ($500,000,000).
(4) If the condition under paragraph (3)(i) is certified by
the Independent Fiscal Office as having been met, the following
shall apply:
(i) Except as provided under subparagraph (ii), the annual
rate on corporate net income imposed under subsection (a) for
taxable years beginning for the calendar year or fiscal year
after December 31, 2023, shall be eight and forty-nine
hundredths per cent (8.49%).
(ii) If the condition under paragraph (3)(ii) is certified
by the Independent Fiscal Office as having been met, the annual
rate on corporate net income imposed under subsection (a) for
taxable years beginning for the calendar year or fiscal year
after December 31, 2024, shall be seven and ninety-nine
hundredths per cent (7.99%).
(5) If the condition under paragraph (3)(i) is not certified
by the Independent Fiscal Office as having been met and if the
condition under paragraph (3)(ii) is certified by the
Independent Fiscal Office as having been met, the annual rate on
corporate net income imposed under subsection (a) for taxable
2022/90LKK/HB1960A04084 - 3 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
years beginning for the calendar year or fiscal year after
December 31, 2024, shall be eight and forty-nine hundredths per
cent (8.49%).
Section 3. The act is amended by adding a section to read:
Section 408.2. Certifications and Publications.-- (a) The
Secretary of the Budget shall consult with the Independent
Fiscal Office in producing the certification under section 1702-
A(b) of the act of April 9, 1929 (P.L.343, No.176), known as
"The Fiscal Code," for fiscal year 2022-2023 and fiscal year
2023-2024. The certification under this subsection shall be
prepared in a way that is subject to complete and thorough
oversight by the Appropriations Committee of the Senate and the
Appropriations Committee of the House of Representatives with
full knowledge of all data, assumptions and econometric models
which were used to develop the certification.
(b) Upon making a certification under subsection (a), the
Secretary of the Budget shall submit official copies of the
certification to the Independent Fiscal Office, the chair and
minority chair of the Appropriations Committee of the Senate and
the chair and minority chair of the Appropriations Committee of
the House of Representatives and to the Legislative Reference
Bureau for publication in the Pennsylvania Bulletin.
(c) If the Independent Fiscal Office confirms the amount of
surplus in the General Fund which is certified under subsection
(a), the Independent Fiscal Office shall transmit to the
Legislative Reference Bureau a notice for publication in the
Pennsylvania Bulletin. The notice shall include the amount of
the surplus certified and whether the following conditions have
been met:
(1) Whether the surplus for the 2022-2023 fiscal year was
more than seven hundred fifty million dollars ($750,000,000).
(2) Whether the surplus for the 2023-2024 fiscal year was
more than seven hundred fifty million dollars ($750,000,000).
Amend Bill, page 5, line 23, by striking out "2" and
inserting
4
2022/90LKK/HB1960A04084 - 4 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36