PRINTER'S NO. 98
No. 108 Session of 2005
INTRODUCED BY MELLOW, O'PAKE, STOUT, COSTA, TARTAGLIONE,
KITCHEN, MUSTO, ORIE AND THOMPSON, JANUARY 31, 2005
REFERRED TO FINANCE, JANUARY 31, 2005
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 personal income tax
11 withholding.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. Section 319 of the act of March 4, 1971 (P.L.6,
15 No.2), known as the Tax Reform Code of 1971, added August 31,
16 1971 (P.L.362, No.93), is amended to read:
17 Section 319. Monthly, Semi-monthly and Quarterly Payment of
18 Taxes Withheld.--Every employer withholding tax under this
19 article shall pay over to the department or to a depository
20 designated by it the tax required to be deducted and withheld
21 under this article.
22 (1) Where the aggregate amount required to be deducted and
1 withheld by any employer for each quarterly period can
2 reasonably be expected to be less than [three hundred dollars
3 ($300)] one thousand five hundred dollars ($1,500), such
4 employer shall file a return and pay the tax on or before the
5 last day for filing a quarterly return under section 318.
6 (2) Where the aggregate amount required to be deducted and
7 withheld by any employer for each quarterly period can
8 reasonably be expected to be [three hundred dollars ($300)] one
9 thousand five hundred dollars ($1,500) or more but less than
10 [one thousand dollars ($1,000)] four thousand five hundred
11 dollars ($4,500), such employer shall pay the tax monthly, on or
12 before the fifteenth day of the month succeeding the months of
13 January to November, inclusive, and on or before the last day of
14 January following the month of December.
15 (3) Where the aggregate amount required to be deducted and
16 withheld by any employer for each quarterly period can
17 reasonably be expected to be [one thousand dollars ($1,000)]
18 four thousand five hundred dollars ($4,500) or more, such
19 employer shall pay the tax semi-monthly, within three banking
20 days after the close of the semi-monthly period.
21 Notwithstanding anything in this section to the contrary,
22 whenever any employer fails to deduct or truthfully account for
23 or pay over the tax withheld or file returns as prescribed by
24 this article, the department may serve a notice on such employer
25 requiring him to withhold taxes which are required to be
26 deducted under this article and deposit such taxes in a bank
27 approved by the department in a separate account in trust for
28 and payable to the department, and to keep the amount of such
29 tax in such account until payment over to the department. Such
30 notice shall remain in effect until a notice of cancellation is
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1 served on the employer by the department.
2 Section 2. The amendment of section 319 of the act shall
3 apply to tax years beginning after December 31, 2005.
4 Section 3. This act shall take effect immediately.
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