PRINTER'S NO. 1275
No. 1023 Session of 2001
INTRODUCED BY CONTI, JUNE 27, 2001
REFERRED TO FINANCE, JUNE 27, 2001
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 incidence and rate of tax;
11 providing for additional floor tax; and further providing for
12 disposition of certain funds.
13 The General Assembly of the Commonwealth of Pennsylvania
14 hereby enacts as follows:
15 Section 1. Section 1206 of the act of March 4, 1971 (P.L.6,
16 No.2), known as the Tax Reform Code of 1971, amended August 4,
17 1991 (P.L.97, No.22), is amended to read:
18 Section 1206. Incidence and Rate of Tax.--An excise tax is
19 hereby imposed and assessed upon the sale or possession of
20 cigarettes within this Commonwealth at the rate of one and
21 [fifty-five] seventy-five hundredths of a cent per cigarette.
22 Section 2. The act is amended by adding a section to read:
1 Section 1206.2. Additional Floor Tax.--Any person who
2 possesses cigarettes on which the tax imposed by section 1206 of
3 this article has been paid as of the effective date of this
4 section shall pay an additional tax at a rate of two tenth cents
5 per cigarette. The tax shall be reported and paid on a form
6 prescribed by the department. In addition to the interest and
7 penalties provided in section 1278 of this article, failure to
8 file said report and pay said tax within sixty days of the
9 effective date of this section may result in a penalty of two
10 hundred fifty dollars ($250). This penalty shall be added to the
11 tax and assessed and collected at the same time in the same
12 manner and as a part of the tax.
13 Section 3. Section 1296 of the act, amended May 7, 1997
14 (P.L.85, No.7), is amended to read:
15 Section 1296. Disposition of Certain Funds.--All cigarette
16 tax revenues collected by the Department of Revenue under this
17 article and heretofore paid into the Parent Reimbursement Fund
18 in accordance with the act of August 27, 1971 (P.L.358, No.92),
19 known as the "Parent Reimbursement Act for Nonpublic Education,"
20 shall be transferred into the General Fund. Beginning [July 1,
21 1993, two thirty-firsts] July 1, 2001, three thirty-fifths of
22 cigarette tax receipts shall be transferred into the
23 Agricultural Conservation Easement Purchase Fund, and beginning
24 [January 1, 1997, three thirty-firsts] July 1, 2001, four
25 thirty-fifths of cigarette tax receipts shall be paid into a
26 restricted account to be known as the Children's Health Fund for
27 health care for indigent children, and beginning July 1, 2001,
28 four thirty-fifths of cigarette tax receipts shall be paid into
29 the Pharmaceutical Assistance Contract for the Elderly (PACE)
30 program established under Chapter 5 of the act of August 26,
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1 1971 (P.L.351, No.91), known as the "State Lottery Law," and the
2 remainder shall be paid into the General Fund. Moneys in the
3 Children's Health Fund shall not be expended until the enactment
4 of legislation to implement a program of expanded access to
5 health care for children. The transfers required by this section
6 shall be made by July 15 for the preceding six months and by
7 January 15 for the preceding six months.
8 Section 4. This act shall take effect immediately.
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