PRINTER'S NO. 222
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
331
Session of
2015
INTRODUCED BY WARD, YAW, GREENLEAF, BREWSTER, FONTANA, BAKER,
FOLMER, BOSCOLA, SMITH, COSTA, HUTCHINSON, WAGNER,
BARTOLOTTA, VULAKOVICH, AUMENT, STEFANO, WOZNIAK, VOGEL,
WHITE, RAFFERTY, EICHELBERGER AND BROOKS, JANUARY 26, 2015
REFERRED TO FINANCE, JANUARY 26, 2015
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," further providing for inheritance tax.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 2116(a) of the act of March 4, 1971
(P.L.6, No.2), known as the Tax Reform Code of 1971, amended May
24, 2000 (P.L.106, No.23), is amended to read:
Section 2116. Inheritance Tax.--(a) (1) Inheritance tax
upon the transfer of property passing to or for the use of [any
of the following shall be at the rate of four and one-half per
cent:
(i) grandfather, grandmother, father, mother, except
transfers under subclause (1.2), and lineal descendants; or
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(ii) wife or widow and husband or widower of a child.] a
grandfather, grandmother, father, mother, except transfers under
subclause (1.2), lineal descendants, wife or widow and husband
or widower of a child shall be at the rate provided in the
following schedule:
(i) Four and one-half per cent for the estate of a decedent
dying before or during calendar year 2015.
(ii) Two per cent for the estate of a decedent dying during
calendar year 2016.
(iii) Zero per cent for the estate of a decedent dying
during or after calendar year 2017.
(1.1) Inheritance tax upon the transfer of property passing
to or for the use of a husband or wife shall be:
(i) At the rate of three per cent for estates of decedents
dying on or after July 1, 1994, and before January 1, 1995.
(ii) At a rate of zero per cent for estates of decedents
dying on or after January 1, 1995.
(1.2) Inheritance tax upon the transfer of property from a
child twenty-one years of age or younger to or for the use of a
natural parent, an adoptive parent or a stepparent of the child
shall be at the rate of zero per cent.
(1.3) Inheritance tax upon the transfer of property passing
to or for the use of a sibling shall be at the rate [of twelve
per cent.] provided in the following schedule:
(i) Twelve per cent for the estate of a decedent dying
before or during calendar year 2015.
(ii) Nine per cent for the estate of a decedent dying during
calendar year 2016.
(iii) Six per cent for the estate of a decedent dying during
calendar year 2017.
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(iv) Three per cent for the estate of a decedent dying
during calendar year 2018.
(v) Zero percent for the estate of a decedent dying during
or after calendar year 2019.
(2) Inheritance tax upon the transfer of property passing to
or for the use of all persons other than those designated in
subclause (1), (1.1), (1.2) or (1.3) or exempt under section
2111(m) shall be at the rate [of fifteen per cent.] provided in
the following schedule:
(i) Fifteen per cent for the estate of a decedent dying
before or during calendar year 2016.
(ii) Twelve per cent for the estate of a decedent dying
during calendar year 2017.
(iii) Nine per cent for the estate of a decedent dying
during calendar year 2018.
(iv) Six per cent for the estate of a decedent dying during
calendar year 2019.
(v) Three per cent for the estate of a decedent dying during
calendar year 2020.
(vi) Zero per cent for the estate of a decedent dying during
or after calendar year 2021.
(3) When property passes to or for the use of a husband and
wife with right of survivorship, one of whom is taxable at a
rate lower than the other, the lower rate of tax shall be
applied to the entire interest.
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Section 2. This act shall take effect immediately.
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