|Posted:||July 10, 2019 11:23 AM|
|From:||Representative Thomas P. Murt|
|To:||All House members|
|Subject:||Inheritance Tax Elimination for Children with Disabilities (Prior HB 415)|
|I will be reintroducing legislation to amend the Tax Reform Code to add and define “child with a disability” and to eliminate the inheritance tax that is applied when assets are transferred from a deceased parent to a disabled child.
Under the current law when a deceased parent transfers property and assets to a disabled child, a 4.5% inheritance tax is applied. The legislation that I am proposing will reduce the 4.5% tax to ZERO percent upon the transfer of property or assets from a deceased parent, adoptive parent, or a stepparent to a disabled child.
The Department of Revenue does not believe this violates the Pa Constitution’s Uniformity Clause. Article VIII, Section 2 (b) (iii) of Pennsylvania’s Constitution permits the General Assembly to establish disabled individuals as a class of persons determined to be in need of a tax exemption.
Previous Co-Sponsors: BAKER, BARRAR, BOBACK, V. BROWN, CALTAGIRONE, CHARLTON, D. COSTA, DAVIDSON, DEASY, DRISCOLL, FARRY, GABLER, GOODMAN, MACKENZIE, MATZIE, McNEILL, NEILSON, ROTHMAN, ROZZI, STURLA, WARD, WATSON, BIZZARRO, KINSEY, ROE and SIMS
Introduced as HB1884