1Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
2act relating to tax reform and State taxation by codifying
3and enumerating certain subjects of taxation and imposing
4taxes thereon; providing procedures for the payment,
5collection, administration and enforcement thereof; providing
6for tax credits in certain cases; conferring powers and
7imposing duties upon the Department of Revenue, certain
8employers, fiduciaries, individuals, persons, corporations
9and other entities; prescribing crimes, offenses and
10penalties," in personal income tax, further providing for
11classes of income.

12The General Assembly of the Commonwealth of Pennsylvania
13hereby enacts as follows:

14Section 1. Section 303(a.5) of the act of March 4, 1971 
15(P.L.6, No.2), known as the Tax Reform Code of 1971, added July 
167, 2005 (P.L.149, No.40), is amended to read:

17Section 303. Classes of Income.--* * *

18(a.5) The requirements of [section] sections 1031 and 1035
19of the Internal Revenue Code of 1986 (26 U.S.C [§ 1031)] §§ 1031 
20and 1035), as amended, shall be applicable.

21* * *

1Section 2. The amendment of section 303(a.5) of the act
2shall apply to the tax years beginning after December 31, 2014.

3Section 3. This act shall take effect immediately.