PRINTER'S NO. 321
No. 306 Session of 1999
INTRODUCED BY CONTI, GERLACH, MOWERY, ARMSTRONG, MUSTO, PUNT,
TOMLINSON, WHITE, STOUT AND BRIGHTBILL, FEBRUARY 3, 1999
REFERRED TO FINANCE, FEBRUARY 3, 1999
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 imposition of tax and for
11 the rate of inheritance tax.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. Section 1102-C of act of March 4, 1971 (P.L.6,
15 No.2), known as the Tax Reform Code of 1971, amended July 2,
16 1986 (P.L.318, No.77), is amended to read:
17 Section 1102-C. Imposition of Tax.--Every person who makes,
18 executes, delivers, accepts or presents for recording any
19 document or in whose behalf any document is made, executed,
20 delivered, accepted or presented for recording, shall be subject
21 to pay for and in respect to the transaction or any part
22 thereof, or for or in respect of the vellum parchment or paper
1 upon which such document is written or printed, a State tax at
2 the rate of [one] two per cent of the value of the real estate
3 represented by such document, which State tax shall be payable
4 at the earlier of the time the document is presented for
5 recording or within thirty days of acceptance of such document
6 or within thirty days of becoming an acquired company.
7 Section 2. Section 2116(a) of the act, amended June 16, 1994
8 (P.L.279, No.48) and June 30, 1995 (P.L.139, No.21), is amended
9 to read:
10 Section 2116. Inheritance Tax.--(a) (1) [Inheritance tax]
11 No inheritance tax shall be imposed upon the transfer of
12 property passing to or for the use of any of the following
13 [shall be at the rate of six per cent]:
14 (i) grandfather, grandmother, father, mother and lineal
15 descendants; or
16 (ii) wife or widow and husband or widower of a child.
17 (1.1) Inheritance tax upon the transfer of property passing
18 to or for the use of a husband or wife shall be:
19 (i) At the rate of three per cent for estates of decedents
20 dying on or after July 1, 1994, and before January 1, 1995.
21 (ii) At a rate of zero per cent for estates of decedents
22 dying on or after January 1, 1995.
23 (2) Inheritance tax upon the transfer of property passing to
24 or for the use of all persons other than those designated in
25 subclause (1) or (1.1) or exempt under section 2111(m) shall be
26 at the rate of [fifteen] seventeen per cent.
27 (3) When property passes to or for the use of a husband and
28 wife with right of survivorship, one of whom is taxable at a
29 rate lower than the other, the lower rate of tax shall be
30 applied to the entire interest.
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2 Section 3. The amendment of section 2116(a) of the act shall
3 apply to the estate of decedents dying on or after January 1999,
4 and to inter vivos transfers made by decedents dying on or after
5 January 1, 1999, without regard to the date of the transfer.
6 Section 4. This act shall take effect in 60 days.
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