Regular Session 2021-2022 House Bill 1921 P.N. 2519

PRIOR PRINTER'S NO. 2183

PRINTER'S NO. 2519

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1921

Session of

2021

INTRODUCED BY STRUZZI, PICKETT, RYAN, HILL-EVANS, CIRESI,

BURGOS, JOZWIAK AND ROWE, SEPTEMBER 28, 2021

AS REPORTED FROM COMMITTEE ON FINANCE, HOUSE OF REPRESENTATIVES,

AS AMENDED, DECEMBER 14, 2021

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 personal income tax, further providing for

refund or credit of overpayment and for restrictions on

refunds.

AMENDING TITLE 20 (DECEDENTS, ESTATES AND FIDUCIARIES) OF THE

PENNSYLVANIA CONSOLIDATED STATUTES, IN DISPOSITIONS

INDEPENDENT OF LETTERS, FAMILY EXEMPTION AND PROBATE OF WILLS

AND GRANT OF LETTERS, FURTHER PROVIDING FOR PAYMENTS TO

FAMILY AND FUNERAL DIRECTORS.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Section 346(a) of the act of March 4, 1971

(P.L.6, No.2), known as the Tax Reform Code of 1971, is amended

to read:

Section 346. Refund or Credit of Overpayment.--(a) In the

case of any payment of tax not due under this article, the

department may credit the amount of such overpayment against any

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liability in respect of the tax imposed by this article on the

part of the person who made the overpayment and shall refund any

balance to such person or, if the overpayment was made by a

person who subsequently dies, to the next of kin in accordance

with section 347(b).

* * *

Section 2. Section 347(a) of the act is amended and the

section is amended by adding subsections to read:

Section 347. Restrictions on Refunds.--(a) A credit or

refund may be [made] issued under section 346:

(1) By reason of the overpayment of an installment of

estimated tax;

(2) Upon reassessment;

(3) Upon the filing of a final return or amended final

return showing any overpayment of tax.

(b) (1) In the case of overpayment of tax made by a person

who subsequently dies, a refund may be issued under section

346(a) to the executor, administrator or other personal

representative of the decedent.

(2) In the case of overpayment of tax made by a person who

subsequently dies and no estate has been opened for the

decedent, the department may issue or reissue a refund under

section 346(a) in the name of the decedent's next of kin,

provided that the next of kin presents to the department all of

the following prior to issuing or reissuing a refund:

(i) A certified death certificate with the same name as the

decedent.

(ii) A sworn affidavit under the penalties of 18 Pa.C.S. §

4904 (relating to unsworn falsification to authorities) setting

forth the relationship of the claimant to the decedent, the

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existence or nonexistence of a duly appointed personal

representative of the decedent and any other persons that may be

entitled to make a claim to the decedent's refund.

(iii) Other information determined by the department to be

necessary in order to issue or reissue a refund.

(3) The department shall develop a form and may promulgate

regulations providing for issuance or reissuance of a refund

under this subsection.

surviving spouse, child, mother or father or sister or brother

of the decedent, with preference given in that order.

Section 3. This act shall apply to an overpayment of tax

made by a decedent taxpayer for taxable years beginning after

December 31, 2018.

Section 4. This act shall take effect immediately.

SECTION 1. SECTION 3101 OF TITLE 20 OF THE PENNSYLVANIA

CONSOLIDATED STATUTES IS AMENDED BY ADDING A SUBSECTION TO READ:

§ 3101. PAYMENTS TO FAMILY AND FUNERAL DIRECTORS.

* * *

(F) PERSONAL INCOME TAX REFUND.--THE FOLLOWING SHALL APPLY:

(1) WHEN A TAX REFUND OF $10,000 OR LESS IS DUE TO A

DECEASED INDIVIDUAL UNDER ARTICLE III OF THE ACT OF MARCH 4,

1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE OF 1971, AND

NO ESTATE HAS BEEN OPENED FOR THE DECEASED INDIVIDUAL AND NO

PERSONAL REPRESENTATIVE HAS BEEN APPOINTED, THE DEPARTMENT OF

REVENUE SHALL ISSUE THE TAX REFUND TO THE SURVIVING SPOUSE,

CHILD, PARENT OR SIBLING OF THE DECEASED INDIVIDUAL.

(2) IN ORDER FOR A TAX REFUND TO BE ISSUED UNDER

PARAGRAPH (1), THE FOLLOWING CRITERIA MUST BE MET:

(I) THE INDIVIDUAL SEEKING THE TAX REFUND MUST

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SUBMIT AN APPLICATION FOR THE REFUND TO THE DEPARTMENT OF

REVENUE ON A FORM PRESCRIBED BY THE DEPARTMENT OF

REVENUE. THE APPLICATION MUST BE SIGNED AND MADE SUBJECT

TO THE PENALTIES OF 18 PA.C.S. § 4904 (RELATING TO

UNSWORN FALSIFICATION TO AUTHORITIES). THE APPLICATION

SHALL INCLUDE THE FOLLOWING:

(A) A CERTIFIED DEATH CERTIFICATE OF THE

DECEASED INDIVIDUAL.

(B) THE RELATIONSHIP OF THE INDIVIDUAL TO THE

DECEASED INDIVIDUAL.

INDIVIDUAL HAS NOT BEEN OPENED AND THAT A PERSONAL

REPRESENTATIVE HAS NOT BEEN APPOINTED.

(D) OTHER INFORMATION AS THE DEPARTMENT OF

REVENUE DETERMINES IS NECESSARY IN ORDER TO ISSUE THE

TAX REFUND.

(II) THE DECEASED INDIVIDUAL HAS BEEN DECEASED FOR

AT LEAST NINE MONTHS.

(3) THE DEPARTMENT OF REVENUE MAY ONLY ISSUE ONE TAX

REFUND UNDER PARAGRAPH (1) TO ONE INDIVIDUAL ON BEHALF OF A

DECEASED INDIVIDUAL. IF MORE THAN ONE INDIVIDUAL APPLIES FOR

THE TAX REFUND, PREFERENCE SHALL BE GIVEN TO THE INDIVIDUAL

AS FOLLOWS:

(I) SURVIVING SPOUSE.

(II) CHILD.

(III) PARENT.

(IV) SIBLING.

(4) PRIOR TO THE ISSUANCE OF A TAX REFUND UNDER

PARAGRAPH (1), THE DEPARTMENT OF REVENUE IS NOT REQUIRED TO

CONFIRM THE EXISTENCE OF INDIVIDUALS OTHER THAN THE APPLICANT

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WHO MAY BE ENTITLED TO THE TAX REFUND UNDER THIS SUBSECTION.

(5) IF A REFUND IS ISSUED UNDER PARAGRAPH (1), THE

REFUND SHALL BE TREATED AS IF IT HAD BEEN MADE TO A DULY

APPOINTED PERSONAL REPRESENTATIVE OF THE DECEASED INDIVIDUAL

AND THE DEPARTMENT OF REVENUE MAY NOT BE REQUIRED TO ISSUE

THE REFUND TO ANY OTHER PERSON.

(6) ANY INDIVIDUAL TO WHOM THE TAX REFUND IS MADE SHALL

BE LIABLE TO ANYONE PREJUDICED BY THE ISSUANCE OF THE TAX

REFUND UNDER THIS SUBSECTION.

SECTION 2. THE ADDITION OF 20 PA.C.S. § 3101(F) SHALL APPLY

TO A TAX REFUND DUE FOR TAXABLE YEARS BEGINNING AFTER DECEMBER

31, 2018.

SECTION 3. THIS ACT SHALL TAKE EFFECT IMMEDIATELY.

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