PRINTER'S NO. 3541
No. 2643 Session of 1978
INTRODUCED BY PYLES, CESSAR AND McCLATCHY, JUNE 28, 1978
REFERRED TO COMMITTEE ON FINANCE, JUNE 28, 1978
AN ACT
1 Amending the act of March 11, 1971 (P.L.104, No.3), entitled, as
2 amended, "An act providing property tax or rent rebate to
3 certain senior citizens, widows, widowers and permanently
4 disabled persons with limited incomes; establishing uniform
5 standards and qualifications for eligibility to receive a
6 rebate; and imposing duties upon the Department of Revenue,"
7 further providing for the payment of rebates.
8 The General Assembly of the Commonwealth of Pennsylvania
9 hereby enacts as follows:
10 Section 1. Section 4, act of March 11, 1971 (P.L.104, No.3),
11 known as the "Senior Citizens Property Tax or Rent Rebate Act,"
12 reenacted and amended June 16, 1975 (P.L.7, No.4), is amended to
13 read:
14 Section 4. Property Tax or Rent Rebate.--(a) The amount of
15 any claim for property tax rebate for real property taxes due
16 and payable during the calendar years 1971 and 1972, or rent
17 rebate in lieu of property taxes for rent due and payable during
18 the calendar year 1972 shall be determined in accordance with
19 the following schedule:
20 Percentage of Real Property Taxes or
21 Rent Rebate in Lieu of Property Taxes
1 Household Income Allowed as Rebate
2 $ 0 - $ 999 100%
3 1,000 - 1,499 90
4 1,500 - 1,999 80
5 2,000 - 2,499 70
6 2,500 - 2,999 60
7 3,000 - 3,499 50
8 3,500 - 3,999 40
9 4,000 - 4,999 30
10 5,000 - 5,999 20
11 6,000 - 7,499 10
12 (a.1) The amount of any claim for property tax rebate or
13 rent rebate in lieu of property taxes for real property taxes or
14 rent due and payable during the calendar year 1973 [and
15 thereafter] through and including 1977 shall be determined in
16 accordance with the following schedule:
17 $ 0 - $2,999 100%
18 3,000 - 3,499 90
19 3,500 - 3,999 80
20 4,000 - 4,499 70
21 4,500 - 4,999 60
22 5,000 - 5,499 50
23 5,500 - 5,999 40
24 6,000 - 6,499 30
25 6,500 - 6,999 20
26 7,000 - 7,499 10
27 (a.2) For calendar year 1978 and thereafter, the amount of
28 any claim for property tax rebate or rent rebate shall equal the
29 excess of either taxes paid or twenty percent of rent over the
30 maximum tax determined in accordance with the following
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1 schedule.
2 Maximum Tax Equals "X"
3 Household Income Percent of Income
4 $ 0 - $2,999 3.2%
5 3,000 - 3,499 3.4
6 3,500 - 3,999 3.6
7 4,000 - 4,499 3.8
8 4,500 - 4,999 4.0
9 5,000 - 5,499 4.2
10 5,500 - 5,999 4.4
11 6,000 - 6,499 4.6
12 6,500 - 6,999 4.8
13 7,000 - 7,499 5.0
14 7,500 - 7,999 5.2
15 (a.3) For the calendar year beginning in 1979 and
16 thereafter, the schedule contained in subsection (a.2) shall be
17 expanded by adding claimants with income of $8,000 - 8,499 and
18 permitting a maximum tax equal to 5.4 percent of income for
19 those claimants.
20 (a.4) For the calendar year beginning in 1980 and
21 thereafter, the schedule contained in subsection (a.2) shall be
22 expanded by adding claimants with income of $8,500 - 8,999 and
23 permitting a maximum tax equal to 5.6 percent of income for
24 those claimants.
25 (a.5) For the calendar year beginning in 1981 and
26 thereafter, the schedule contained in subsection (a.2) shall be
27 expanded by adding claimants with income of $9,000 - 9,499 and
28 permitting a maximum tax equal to 5.8 percent of income for
29 those claimants.
30 (a.6) For the calendar year beginning in 1982 and
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1 thereafter, the schedule contained in subsection (a.2) shall be
2 expanded by adding claimants with income of $9,500 - 9,999 and
3 permitting a maximum tax equal to 6.0 percent of income for
4 those claimants.
5 (b) No claim shall be allowed if the amount of property tax
6 or rent rebate computed in accordance with this section is less
7 than ten dollars ($10). [and the maximum amount of rebate
8 payable shall not exceed two hundred dollars ($200).]
9 (c) No claim shall be allowed if the claimant is a tenant of
10 an owner of real property exempt from real property taxes.
11 (d) If a homestead is owned or rented and occupied for only
12 a portion of a year or is owned or rented in part by a person
13 who does not meet the qualifications for a claimant, exclusive
14 of any interest owned or leased by a claimant's spouse, or if
15 the claimant is a widow or widower who remarries, or if the
16 claimant is permanently disabled person who is no longer
17 disabled, the department shall apportion the real property taxes
18 or rent in accordance with the period or degree or ownership or
19 leasehold or eligibility of the claimant in determining the
20 amount of rebate for which a claimant is eligible. A claimant
21 who is a renter shall not be eligible for rent rebate in lieu of
22 property taxes during those months within which he receives
23 public assistance from the Department of Public Welfare.
24 Section 2. Section 5 of the act, amended December 16, 1977
25 (P.L.327, No.96), is amended to read:
26 Section 5. Filing of Claim.--A claim for property tax or
27 rent rebate shall be filed with the department on or before the
28 [thirtieth day of June] fifteenth of April of the year next
29 succeeding the end of the calendar year in which real property
30 taxes or rent were due and payable: Provided, That claims filed
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1 after the June 30 deadline may be accepted at the discretion of
2 the Secretary of Revenue for cause shown. No reimbursement on a
3 claim shall be made from the State Lottery Fund earlier than
4 [the day following the last day provided in this act on which
5 that claim may be filed with the department] the first of July
6 following the filing of claims. It shall be the duty of the
7 department to pay all claims not later than the thirty-first of
8 August following the filing of claims. Only one claimant from a
9 homestead each year shall be entitled to property tax or rent
10 rebate. If two or more persons are able to meet the
11 qualifications for a claimant, they may determine who the
12 claimant shall be. If they are unable to agree, the department
13 shall determine to whom a rebate is to be paid.
14 Section 3. Section 8 of the act, amended June 30, 1977
15 (P.L.26, No.18), is amended to read:
16 Section 8. Funds for Payment of Administrative Expenses and
17 Claims.--Expenses, salaries and other costs incurred in the
18 administration of this act and approved claims shall be paid
19 from the State Lottery Fund established by the act of August 26,
20 1971 (P.L.351, No.91), known as the "State Lottery Law." In the
21 event that the total amount of administrative expenses and
22 claims exceeds the amount in such fund, in any one year, then
23 the amounts allowed as tax or rent rebates shall be reduced in
24 the proportion that the amount of such fund bears to the total
25 amount of claims in such year. For the purposes of this section,
26 [for the fiscal years beginning July 1, 1975, July 1, 1976 and
27 July 1, 1977,] the amount in the State Lottery Fund shall
28 include funds available including revenue estimated to be
29 available for the purposes of administrative expenses and
30 claims. The first ten million dollars ($10,000,000) of surpluses
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1 in the Lottery Fund shall be committed to a contingency reserve
2 to be used exclusively to cover revenue shortfalls which may
3 arise if actual revenues are less than anticipated revenue.
4 Section 4. Section 9 of the act, reenacted June 16, 1975
5 (P.L.7, No.4), is amended to read:
6 Section 9. Claim Forms and Rules and Regulations.--The
7 department shall prescribe necessary rules and regulations and
8 shall make available suitable forms for filing a claim. To the
9 fullest extent practical, the department shall integrate
10 applications for rebates into the personal income tax forms of
11 the Commonwealth. Rebate applications shall constitute a
12 supplementary schedule to the personal income tax form, and
13 household income shall be determined using the procedures and
14 form employed in administering the special poverty forgiveness
15 provisions of the personal income tax.
16 Section 5. This act shall take effect January 1, 1979.
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