PRINTER'S NO. 1810
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1453
Session of
2019
INTRODUCED BY KEEFER, PICKETT, WARNER, B. MILLER, KAUFFMAN,
SAMUELSON, BROWN, IRVIN, GROVE, MILLARD, ZIMMERMAN, DeLUCA,
MOUL, GILLEN, SCHEMEL, JONES, PASHINSKI, RYAN, TOPPER, GLEIM
AND HELM, MAY 14, 2019
REFERRED TO COMMITTEE ON FINANCE, MAY 14, 2019
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," in entertainment production tax credit, further
providing for carryover, carryback and assignment of credit.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Sections 1714-D(c), (e) and (f) and 1755-D(c),
(e) and (f) of the act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, are amended to read:
Section 1714-D. Carryover, carryback and assignment of credit.
* * *
(c) No carryback [or], refund, sale or assignment.--[A
taxpayer is not entitled to carry back or obtain a refund of] A
taxpayer is not entitled to carry back, obtain a refund, sell or
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assign all or any portion of an unused tax credit granted to the
taxpayer under this subarticle.
* * *
(e) [Sale or assignment.--The following shall apply:
(1) A taxpayer, upon application to and approval by the
department, may sell or assign, in whole or in part, a tax
credit granted to the taxpayer under this subarticle.
(2) The department and the Department of Revenue shall
jointly promulgate regulations for the approval of
applications under this subsection.
(3) Before an application is approved, the Department of
Revenue must make a finding that the applicant has filed all
required State tax reports and returns for all applicable
taxable years and paid any balance of State tax due as
determined at settlement, assessment or determination by the
Department of Revenue.
(4) Notwithstanding any other provision of law, the
Department of Revenue shall settle, assess or determine the
tax of an applicant under this subsection within 90 days of
the filing of all required final returns or reports in
accordance with section 806.1(a)(5) of the act of April 9,
1929 (P.L.343, No.176), known as The Fiscal Code.]
(Reserved).
(f) [Purchasers and assignees.--Except as set forth in
subsection (g), the following apply:
(1) The purchaser or assignee of all or a portion of a
tax credit under subsection (e) shall immediately claim the
credit in the taxable year in which the purchase or
assignment is made.
(2) The amount of the tax credit that a purchaser or
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assignee may use against any one qualified tax liability may
not exceed 50% of such qualified tax liability for the
taxable year.
(3) The purchaser or assignee may not carry forward,
carry back or obtain a refund of or sell or assign the tax
credit.
(4) The purchaser or assignee shall notify the
Department of Revenue of the seller or assignor of the tax
credit in compliance with procedures specified by the
Department of Revenue.] (Reserved).
* * *
Section 1755-D. Carryover, carryback and assignment of credit.
* * *
(c) No carryback [or], refund, sale or assignment.--[A
taxpayer is not entitled to carry back or obtain a refund of] A
taxpayer is not entitled to carry back, obtain a refund, sell or
assign all or any portion of an unused tax credit granted to the
taxpayer under this subarticle.
* * *
(e) [Sale or assignment.--The following shall apply:
(1) A taxpayer, upon application to and approval by the
department, may sell or assign, in whole or in part, a tax
credit granted to the taxpayer under this subarticle.
(2) The department and the Department of Revenue shall
jointly promulgate regulations for the approval of
applications under this subsection.
(3) Before an application is approved, the Department of
Revenue must make a finding that the applicant has filed all
required State tax reports and returns for all applicable
taxable years and paid any balance of State tax due as
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determined at settlement, assessment or determination by the
Department of Revenue.
(4) Notwithstanding any other provision of law, the
Department of Revenue shall settle, assess or determine the
tax of an applicant under this subsection within 90 days of
the filing of all required final returns or reports in
accordance with section 806.1(a)(5) of the act of April 9,
1929 (P.L.343, No.176), known as The Fiscal Code.] Reserved.
(f) [Purchasers and assignees.--The purchaser or assignee of
all or a portion of a tax credit under subsection (e) shall
immediately claim the tax credit in the taxable year in which
the purchase or assignment is made. The amount of the tax credit
that a purchaser or assignee may use against any one qualified
tax liability may not exceed 50% of such qualified tax liability
for the taxable year. The purchaser or assignee may not carry
forward, carry back or obtain a refund of or sell or assign the
tax credit. The purchaser or assignee shall notify the
Department of Revenue of the seller or assignor of the tax
credit in compliance with procedures specified by the Department
of Revenue.] Reserved.
Section 2. This act shall take effect in 60 days.
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