PRINTER'S NO. 187
No. 184 Session of 2003
INTRODUCED BY CORMAN, RHOADES, WOZNIAK, ORIE, KITCHEN, RAFFERTY,
COSTA AND M. WHITE, FEBRUARY 5, 2003
REFERRED TO FINANCE, FEBRUARY 5, 2003
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 certain crimes.
11 The General Assembly of the Commonwealth of Pennsylvania
12 hereby enacts as follows:
13 Section 1. Section 268 of the act of March 4, 1971 (P.L.6,
14 No.2), known as the Tax Reform Code of 1971, amended August 4,
15 1991 (P.L.97, No.22) and June 29, 2002 (P.L.559, No.89), is
16 amended to read:
17 Section 268. Crimes.--(a) Fraudulent Return. Any person who
18 with intent to defraud the Commonwealth shall wilfully make, or
19 cause to be made, any return required by this article, which is
20 false, shall be guilty of a misdemeanor, and, upon conviction
21 thereof, shall be sentenced to pay a fine not exceeding two
1 thousand dollars ($2000), or undergo imprisonment not exceeding
2 three years, or both.
3 (b) Other Crimes. [(1)] Except as otherwise provided by
4 [subsection (a) of this section,] subsections (a) and (c) of
5 this section:
6 (1) any person who advertises or holds out or states to the
7 public or to any purchaser or user, directly or indirectly, that
8 the tax or any part thereof imposed by this article will be
9 absorbed by such person, or that it will not be added to the
10 purchase price of the tangible personal property or services
11 described in subclauses (2), (3), (4) and (11) through (18) of
12 clause (k) of section 201 of this article sold or, if added,
13 that the tax or any part thereof will be refunded, other than
14 when such person refunds the purchase price because of such
15 property being returned to the vendor[, and];
16 (2) any person selling or leasing tangible personal property
17 or said services the sale or use of which by the purchaser is
18 subject to tax hereunder, who shall wilfully fail to collect the
19 tax from the purchaser and timely remit the same to the
20 department[, and]; and
21 (3) any person who shall wilfully fail or neglect to timely
22 file any return or report required by this article or any
23 taxpayer who shall refuse to timely pay any tax, penalty or
24 interest imposed or provided for by this article, or who shall
25 wilfully fail to preserve his books, papers and records as
26 directed by the department, or any person who shall refuse to
27 permit the department or any of its authorized agents to examine
28 his books, records or papers, or who shall knowingly make any
29 incomplete, false or fraudulent return or report, or who shall
30 do, or attempt to do, anything whatever to prevent the full
20030S0184B0187 - 2 -
1 disclosure of the amount or character of taxable sales purchases
2 or use made by himself or any other person, or shall provide any
3 person with a false statement as to the payment of tax with
4 respect to particular tangible personal property or said
5 services, or shall make, utter or issue a false or fraudulent
6 exemption certificate, shall be guilty of a misdemeanor, and,
7 upon conviction thereof, shall be sentenced to pay a fine not
8 exceeding one thousand dollars ($1000) and costs of prosecution,
9 or undergo imprisonment not exceeding one year, or both:
10 Provided, however, That any person maintaining a place of
11 business outside this Commonwealth may absorb the tax with
12 respect to taxable sales made in the normal course of business
13 to customers present at such place of business without being
14 subject to the above penalty and fines: and Provided further,
15 That advertising tax-included prices shall be permissible, if
16 the prepaid services are sold by the service provider, for
17 prepaid telecommunications services not evidenced by the
18 transfer of tangible personal property or for prepaid mobile
19 telecommunications services.
20 (c) Exception. It shall not be a violation of subsection
21 (b)(1), if the person states in writing to the public, purchaser
22 or user that the tax or any part thereof will be paid by the
23 person to the Commonwealth on the full purchase price of such
24 tangible personal property or services sold, there is no
25 difference in the amount of tax paid to the Commonwealth as a
26 result thereof and the person affirms on the return required by
27 this article that the tax is subject to this subsection and
28 provides such supporting documentation as deemed satisfactory by
29 the Department of Revenue to demonstrate compliance with this
30 subsection.
20030S0184B0187 - 3 -
1 [(2)] (d) Other Penalties. The penalties imposed by this
2 section shall be in addition to any other penalties imposed by
3 any provision of this article.
4 Section 2. This act shall take effect in 60 days.
A10L72RLE/20030S0184B0187 - 4 -