SENATE AMENDED
PRIOR PRINTER'S NO. 922 PRINTER'S NO. 2720
No. 819 Session of 1975
INTRODUCED BY MESSRS. DREIBELBIS, O'DONNELL, McLANE AND WANSACZ,
MARCH 18, 1975
SENATOR ORLANDO, FINANCE, IN SENATE, AS AMENDED,
FEBRUARY 4, 1976
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," providing for a permanent tax exemption number
11 for school districts AND INTERMEDIATE UNITS. <--
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. Subsection (c) of section 237, act of March 4,
15 1971 (P.L.6, No.2), known as the "Tax Reform Code of 1971," is
16 amended to read:
17 Section 237. Collection of Tax.--* * *
18 (c) Exemption Certificates. If the tax does not apply to the
19 sale or lease of tangible personal property or services, the
20 purchaser or lessee shall furnish to the vendor a certificate
21 indicating that the sale is not legally subject to the tax. The
1 certificate shall be in substantially such form as the
2 department may, by regulation, prescribe. Where the tangible
3 personal property or service is of a type which is never subject
4 to the tax imposed or where the sale or lease is in interstate
5 commerce, such certificate need not be furnished. Where a series
6 of transactions are not subject to tax, a purchaser or user may
7 furnish the vendor with a single exemption certificate in
8 substantially such form and valid for such period of time as the
9 department may, by regulation, prescribe. The department shall
10 provide all school districts AND INTERMEDIATE UNITS with a <--
11 permanent tax exemption number. An exemption certificate, which
12 is complete and regular and on its face discloses a valid basis
13 of exemption if taken in good faith, shall relieve the vendor
14 from the liability imposed by this section. An exemption
15 certificate accepted by a vendor from a natural person domiciled
16 within this Commonwealth or any association, fiduciary,
17 partnership, corporation or other entity, either authorized to
18 do business within this Commonwealth or having an established
19 place of business within this Commonwealth, in the ordinary
20 course of the vendor's business, which on its face discloses a
21 valid basis of exemption consistent with the activity of the
22 purchaser and character of the property or service being
23 purchased, shall be presumed to be taken in good faith and the
24 burden of proving otherwise shall be on the Department of
25 Revenue.
26 * * *
27 Section 2. This act shall take effect immediately.
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