Regular Session 2019-2020 House Bill 1232 P.N. 1444

PRINTER'S NO. 1444

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1232

Session of

2019

INTRODUCED BY DUNBAR, RYAN, MILLARD, WHEELAND, GROVE, PICKETT,

GAYDOS, LAWRENCE AND MENTZER, APRIL 16, 2019

REFERRED TO COMMITTEE ON FINANCE, APRIL 16, 2019

AN ACT

Amending the act of April 9, 1929 (P.L.343, No.176), entitled,

as amended, "An act relating to the finances of the State

government; providing for cancer control, prevention and

research, for ambulatory surgical center data collection, for

the Joint Underwriting Association, for entertainment

business financial management firms, for private dam

financial assurance and for reinstatement of item vetoes;

providing for the settlement, assessment, collection, and

lien of taxes, bonus, and all other accounts due the

Commonwealth, the collection and recovery of fees and other

money or property due or belonging to the Commonwealth, or

any agency thereof, including escheated property and the

proceeds of its sale, the custody and disbursement or other

disposition of funds and securities belonging to or in the

possession of the Commonwealth, and the settlement of claims

against the Commonwealth, the resettlement of accounts and

appeals to the courts, refunds of moneys erroneously paid to

the Commonwealth, auditing the accounts of the Commonwealth

and all agencies thereof, of all public officers collecting

moneys payable to the Commonwealth, or any agency thereof,

and all receipts of appropriations from the Commonwealth,

authorizing the Commonwealth to issue tax anticipation notes

to defray current expenses, implementing the provisions of

section 7(a) of Article VIII of the Constitution of

Pennsylvania authorizing and restricting the incurring of

certain debt and imposing penalties; affecting every

department, board, commission, and officer of the State

government, every political subdivision of the State, and

certain officers of such subdivisions, every person,

association, and corporation required to pay, assess, or

collect taxes, or to make returns or reports under the laws

imposing taxes for State purposes, or to pay license fees or

other moneys to the Commonwealth, or any agency thereof,

every State depository and every debtor or creditor of the

Commonwealth," in additional special funds, providing for the

Enhanced Revenue Collection Account; in 2018-2019 budget

implementation, further providing for Department of Revenue;

and making an editorial change.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. The heading of Article XVII-A.1 of the act of

April 9, 1929 (P.L.343, No.176), known as The Fiscal Code, is

amended to read:

ARTICLE XVII-A.1

ADDITIONAL SPECIAL FUNDS AND RESTRICTED ACCOUNTS

Section 2. Article XVII-A.1 of the act is amended by adding

a subarticle to read:

SUBARTICLE G

ENHANCED REVENUE COLLECTION ACCOUNT

Section 1761-A.1. Definitions.

The following words and phrases when used in this subarticle

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Account." The Enhanced Revenue Collection Account continued

under section 1762-A.1.

"Department." The Department of Revenue of the Commonwealth.

Section 1762-A.1. Enhanced Revenue Collection Account.

The Enhanced Revenue Collection Account is continued as a

restricted account within the General Fund. Revenues collected

and the amount of refunds avoided as a result of expanded tax

return reviews and tax collection activities by the department

shall be deposited into the account.

Section 1763-A.1. Use of account.

(a) Appropriation.--The General Assembly may appropriate

money in the account to the department to fund the costs

associated with expanded tax return reviews and tax collection

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activities.

(b) Return.--Except for amounts appropriated under

subsection (a), money in the account shall be returned

proportionately to the General Fund revenue or refund accounts

that were the source of the money no later than the 28th day of

each month of the fiscal year.

Section 1764-A.1. Report.

The department shall issue a report to the Governor, the

chairperson and minority chairperson of the Appropriations

Committee of the Senate and the chairperson and minority

chairperson of the Appropriations Committee of the House of

Representatives by June 1, 2020, and each June 1 thereafter,

with the following information:

(1) A detailed breakdown of the department's

administrative costs in implementing expanded tax return

reviews and tax collection activities.

(2) The amount of revenue collected and the amount of

refunds avoided as a result of the expanded tax return

reviews and tax collection activities, including the type of

tax generating the revenue and avoided refunds.

Section 3. Section 1730-H of the act, repealed and added

June 22, 2018 (P.L.281, No.42), is amended to read:

Section 1730-H. Department of Revenue.

The following apply to appropriations for the Department of

Revenue:

(1) The Enhanced Revenue Collection Account shall

continue as a restricted account within the General Fund

through fiscal year [2019-2020] 2018-2019. Revenues collected

and the amount of refunds avoided as a result of expanded tax

return reviews and tax collection activities shall be

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deposited into the restricted account. The following shall

apply:

(i) Of the money transferred under this paragraph in

the account, for fiscal years 2018-2019 [and 2019-2020],

up to $30,000,000 is appropriated to the department to

fund the costs associated with expanded tax return

reviews and tax collection activities. The balance of the

money in the account shall be returned proportionately to

the General Fund revenue or refund accounts that were the

source of the money no later than the 28th day of each

month of the fiscal year.

(ii) The department shall issue a report to the

Governor, the chairperson and the minority chairperson of

the Appropriations Committee of the Senate and the

chairperson and minority chairperson of the

Appropriations Committee of the House of Representatives

by June 1, 2019, [and by each June 1 thereafter,] with

the following information:

(A) A detailed breakdown of the department's

administrative costs in implementing expanded tax

return reviews and tax collection activities.

(B) The amount of revenue collected and the

amount of refunds avoided as a result of the expanded

tax return reviews and tax collection activities,

including the type of tax generating the revenue and

avoided refunds.

(2) (Reserved).

Section 4. This act shall take effect July 1, 2019, or

immediately, whichever occurs later.

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