S0653B1905A08927 AJB:NLG 06/22/18 #90 A08927
AMENDMENTS TO SENATE BILL NO. 653
Sponsor: REPRESENTATIVE PEIFER
Printer's No. 1905
Amend Bill, page 1, line 24, by inserting after "committees"
, for declaration and payment of income taxes
Amend Bill, page 2, lines 1 through 4, by striking out all of
said lines and inserting
Section 1. Section 313(a) and Chapter 5 of the act of
December 31, 1965 (P.L.1257, No.511), known as The Local Tax
Enabling Act, are amended to read:
Amend Bill, page 2, by inserting after line 30
Section 1.1. Sections 502(c)(2) and (3) and (e) and 505(a),
(a.1), (b), (c), (j) and (l) of the act, amended May 4, 2018
(P.L.102, No.18), are amended to read:
Section 502. Declaration and payment of income taxes.
* * *
(c) Declaration and payment.--Except as provided in
subsections (a)(2) and (d), taxpayers shall declare and pay
income taxes as follows:
* * *
(2) (i) Every taxpayer making net profits resulting in
a tax liability of $200 or more shall, by April 15 of the
current year, make and file with the resident tax officer
a declaration of the taxpayer's estimated net profits
during the period beginning January 1 and ending December
31 of the current year, and shall pay to the resident tax
officer in four equal quarterly installments the tax due
on the estimated net profits. The first installment shall
be paid at the time of filing the declaration, and the
other installments shall be paid on or before July 15 of
the current year, October 15 of the current year and
January 15 of the succeeding year, respectively. For a
declaration of an estimated tax on net profits resulting
in a tax liability that is less than $200, a taxpayer may
remit one lump sum payment to the resident tax officer
without penalty and shall not be required to file
quarterly estimates.
(ii) Any taxpayer who first anticipates any net
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profit resulting in a tax liability of $200 or more after
April 15 of the current year shall make and file the
declaration required on or before July 15 of the current
year, October 15 of the current year or January 15 of the
succeeding year, whichever date next follows the date on
which the taxpayer first anticipates such net profit, and
shall pay to the resident tax officer in equal
installments the tax due on or before the quarterly
payment dates that remain after the filing of the
declaration.
(iii) Every taxpayer shall, on or before April 15 of
the succeeding year, make and file with the resident tax
officer a final return showing the amount of net profits
resulting in a tax liability of $200 or more that was
earned or received based on the method of accounting used
by the taxpayer during the period beginning January 1 of
the current year, and ending December 31 of the current
year, the total amount of tax due on the net profits and
the total amount of tax paid. At the time of filing the
final return, the taxpayer shall pay to the resident tax
officer the balance of tax due or shall make demand for
refund or credit in the case of overpayment. Any taxpayer
may, in lieu of paying the fourth quarterly installment
of the estimated tax, elect to make and file with the
resident tax officer on or before January 31 of the
succeeding year, the final return.
(iv) The department, in consultation with the
Department of Revenue, shall provide by regulation for
the filing of adjusted declarations of estimated net
profits and for the payments of the estimated tax in
cases where a taxpayer who has filed the declaration
required under this subsection anticipates additional net
profits not previously declared or has overestimated
anticipated net profits.
(v) Every taxpayer who discontinues business prior
to December 31 of the current year, shall, within 30 days
after the discontinuance of business, file a final return
as required under this paragraph and pay the tax due.
(3) Every taxpayer who receives any other taxable income
not subject to withholding under section 512(3) resulting in
a tax liability of $200 or more shall make and file with the
resident tax officer a quarterly return on or before April 15
of the current year, July 15 of the current year, October 15
of the current year, and January 15 of the succeeding year,
setting forth the aggregate amount of taxable income not
subject to withholding by the taxpayer during the three-month
periods ending March 31 of the current year, June 30 of the
current year, September 30 of the current year, and December
31 of the current year, respectively, and subject to income
tax, together with such other information as the department
may require. Every taxpayer [filing] that is required to file
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a return shall, at the time of filing the return, pay to the
resident tax officer the amount of income tax due. The
department shall establish criteria under which the tax
officer may waive the quarterly return and payment of the
income tax and permit a taxpayer to file the receipt of
taxable income on the taxpayer's annual return and pay the
income tax due on or before April 15 of the succeeding year.
* * *
(e) Restrictions.--In administering the provisions of this
section, no political subdivision, tax collection committee or
tax officer may:
(1) Prohibit a taxpayer from filing any return or
declaration required under this section in person or by first
class mail.
(2) Prohibit a taxpayer from filing any local income tax
return form, estimated tax return form or other form related
to any filing required under this section that has been
posted by the department on its publicly accessible Internet
website.
(3) Impose a penalty for failing to timely file a
quarterly estimated tax return for which no payment of
estimated tax was due, as shown in the taxpayer's annual
income tax return.
(4) Impose a penalty on a taxpayer unless it has issued
a letter that notifies the taxpayer that the taxpayer is
required to take corrective action within 30 days and failure
to take corrective action will result in a penalty being
imposed on the taxpayer.
(5) Require a taxpayer to file a local tax return
indicating that the taxpayer earned zero income or does not
owe any local tax to the local taxing jurisdiction if the
taxpayer met the local income tax exemption requirements and
was not required to file a local income tax return in the
preceding year.
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