PRINTER'S NO. 3574

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

2886

Session of

2022

INTRODUCED BY FLOOD, RYAN, HENNESSEY, SCHLEGEL CULVER, TWARDZIK,

JAMES, HAMM, MILLARD, BERNSTINE, NEILSON AND JOZWIAK,

OCTOBER 20, 2022

method and manner of collecting such tax; and providing

penalties."

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. The act of August 19, 1932 (Sp.Sess., P.L.92,

No.53), known as the Emergency Relief Sales Tax Act, is

repealed:

To provide revenue by imposing an emergency sales tax for State

purposes upon sales of tangible personal property by vendors,

phrases, when used in this act, shall have the meanings ascribed

to them in this section, except where the context clearly

indicates a different meaning.

"Association." Any partnership, limited partnership, or

other form of unincorporated enterprise owned by two or more

persons.

"Department." The Department of Revenue of this

Commonwealth.

"Gross Income." The value proceeding or accruing from the

sale of tangible personal property, including all receipts, cash

"Vendor." Every natural person, association, or corporation

who or which sells tangible personal property to a consumer or

to any person for any purpose other than for resale; but the

term "vendor" shall not include farmers who sell their own farm

products. Whenever used in any clause prescribing a fine or

imprisonment, or both, the term "vendor," as applied to

associations, shall mean the partners or members thereof, and,

as applied to corporations, the officers thereof.

The singular shall include the plural, and the masculine

shall include the feminine and the neuter. Section headings

property, at the rate of one per centum upon each dollar of the

gross income derived from the sales of such property, during the

six months period ending February twenty-eighth, one thousand

nine hundred thirty-three, or any part of such period, except

such sales of tangible personal property made to the United

States Government upon evidence satisfactory to the department,

and except such sales as are not within the taxing power of this

Commonwealth under the Commerce Clause of the Constitution of

the United States. Such tax shall be paid at the time and in the

manner hereinafter provided.

gross income arising from sales of tangible personal property

during the preceding six months' period ending February twenty-

eighth, one thousand nine hundred thirty-three. Such return

shall show such further information as the department may

prescribe.

Section 5. Assessment and Payment of Tax.--Every vendor, at

the time of making the return required under section four, shall

compute and pay to the department the tax due to the

Commonwealth by him for the preceding six months' period. The

amount of all taxes imposed under the provisions of this act

three, pay one-half of such tax concurrently with the filing of

such report, and may pay the remaining one-half of the said tax

in a single instalment on or before the fifteenth day of May,

one thousand nine hundred and thirty-three, but the amount of

the tax not paid on or before the first day of April, one

thousand nine hundred and thirty-three, shall bear interest at

the rate of six per centum per annum until the fifteenth day of

May, one thousand nine hundred and thirty-three, and twelve per

centum per annum thereafter.

Section 6. Retention of Records by Vendors.--Every vendor

satisfied with the return and payment of tax made by any vendor

under the provisions of this act, it is hereby authorized and

empowered to make an additional assessment of the tax due by

such taxpayer, based upon the facts contained in the return or

upon any information within its possession or that shall come

into its possession. Promptly after the date of such additional

assessment, the department shall give or send, by mail or

otherwise, a notice thereof to the vendor, together with written

notice of the time when and the place where the vendor may be

heard on a petition for reassessment, as hereinafter provided.

the supposed smallness of the debt or for any other reason, not

to compel the exhibition of the vendor's account--make an

estimated assessment of the probable amount of the account of

the delinquent, together with a penalty of ten per centum of the

amount so assessed. The department shall promptly thereafter

give or send, by mail or otherwise, notice of such estimated

assessment and penalty to the vendor against whom the same was

made. There shall be no right to petition for reassessment or to

appeal from any such estimated assessment made on account of the

neglect or refusal of such vendor to make any return and payment

Section 9. Estimated Additional Assessments upon Refusal to

Permit Examination of Books.--The department shall have the

power to make an estimated additional assessment, to which shall

be added a penalty of ten per centum of the assessment, against

any vendor who has filed any return as required by this act but

who refuses to permit the department, or any duly authorized

agent thereof, to examine his books of account and papers

pertaining to the business for which the return was made. The

department shall promptly thereafter give or send, by mail or

otherwise, notice of such estimated additional assessment and

Department.--All taxes and penalties resulting from any

assessment made by the department shall be due and payable ten

days after notice thereof is given or sent, by mail or

otherwise, to the vendor against whom such assessment was made.

Section 11. Petition for Reassessment of Certain

Assessments; Notice.--Any vendor against whom an additional

assessment or estimated additional assessment shall be made by

the department may petition for a reassessment. Notice of an

intention to file such a petition or to appear and be heard

shall be given to the department prior to the time the amount

hear and determine petitions for reassessment. Such hearings

shall be held at the time and place indicated in the notice of

such assessment given to the vendor. All petitions filed with

the department shall set forth specifically and in detail the

grounds upon which it is claimed such assessment is erroneous or

unlawful, and shall be accompanied by an affidavit, under oath

or affirmation, certifying to the correctness of the facts

stated therein. If no petition for reassessment is filed with

the department, the vendor may, in lieu thereof, appear at the

hearing and present his petition orally, in which event all

common pleas of the proper county within twenty days after

notice of the determination of the petition is given to him by

the department. If any vendor shall fail to give due notice of

an intention to petition for reassessment or to file a petition

for reassessment after due notice of his intention to do so, or

to appeal to the court of common pleas, within the time and in

the manner herein set forth, the right to do so shall be forever

barred, and any such vendor so failing shall not thereafter be

permitted, in a suit for the recovery of such tax, to set up any

ground of defense which might have been determined either by the

to the court of common pleas under this section shall specify

all the objections to the assessment, and any objection not

specified in the appeal shall not be considered by the court. In

all cases of petitions for reassessment and appeals, the burden

of proof shall be on the petitioner or appellant, as the case

may be.

Section 12. Enforcement; Rules and Regulations.--The

department is hereby charged with the enforcement of the

provisions of this act, and is hereby authorized and empowered

to prescribe, adopt, promulgate, and enforce rules and

Section 13. Inquisitorial Powers of Department.--The

department, or any agent authorized in writing by it, is hereby

authorized to examine the books, papers, records and equipment,

and to investigate the character of the business of any vendor,

in order to verify the accuracy of any return made, or, if no

return was made by such vendor, to ascertain and assess the tax

imposed by this act. Every such vendor is hereby directed and

required to give to the department, or its duly authorized

agent, the means, facilities and opportunity for such

examinations and investigations as are hereby provided and

($100.00) or more than five hundred dollars ($500.00), and costs

of prosecution, or to undergo imprisonment for not more than six

months, or both.

Section 14. Department to Prepare and Furnish Returns.--The

department is hereby authorized to prepare and have printed

proper forms for returns to be distributed, upon request, to

vendors.

Section 15. Collection of Delinquent Taxes.--The department

shall call upon the Department of Justice to collect any taxes

or penalties imposed under the provisions of this act which are

additional assessment is given or sent to the vendor, as

heretofore provided, if no notice of an intention to petition

for reassessment or if no petition for reassessment is filed

with the department.

(3) Ten days after notice of an estimated assessment is

given or sent to the vendor, as heretofore provided.

(4) The date of the determination of a petition for

reassessment by the department, if an appeal is not taken to the

court of common pleas.

Section 16. Interest.--The tax imposed by this act shall

reassessment, any balance finally found due by the department

shall bear interest at the rate of twelve per centum per annum

from ten days after notice of the additional or estimated

additional assessment was given to the vendor by the department.

Section 17. Penalties.--(a) Any vendor who shall

intentionally neglect or refuse to make the return to the

department, as required by this act, shall be guilty of a

misdemeanor, and, upon conviction thereof, shall be sentenced to

pay a fine of not less than one hundred dollars ($100.00) or not

more than five hundred dollars ($500.00), and costs of