SB 734 — An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in tax credit eligibility, further providing for definitions and for eligibility and providing for application and administration, for assessment, for administering agency training, for broker registration, for tax credit and tax benefit reports, for allocation of tax credits or tax benefit program awarded upon appeal and for guidelines; in research and development tax credit, further providing for credit for research and development expenses, for carryover, carryback, refund and assignment of credit and for report to General Assembly; in keystone innovation zones, further providing for keystone innovation zone tax credits and for annual report; in procedure and administration, further providing for petition for reassessment, for petition procedure and for review by board; and making editorial changes.
Last action — Re-referred to APPROPRIATIONS
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✓Introduced
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2In Committee
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3Passed Senate
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4Passed House
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5To Executive
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6Enacted
This bill died with 2021-2022 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
This bill is no longer active — its legislative session has ended, so there are no live odds of enactment. It would have to be reintroduced in the current session to move again.
Bill Text
What changed in the latest version
981 added · 380 removedPlain-language change summary
The recent amendments to SB 734 introduced new definitions and requirements for tax credits, including the structure for how these credits are administered and reported. Specifically, the bill now establishes guidelines for agency training, broker registration, and reporting on tax benefits. This change is significant because it aims to streamline the process, ensuring more transparency and accountability in the management of tax credits, which can help prevent misuse and improve overall tax reform efficiency.
PRIOR PRINTER'S NO.
836 THEPRINTER'S GENERALNO. ASSEMBLY OF PENNSYLVANIA SENATE BILL Session of 2021 No.
INTRODUCED869 BYTHE HAYWOOD,GENERAL SANTARSIERO,ASSEMBLY COSTA,OF KANE,PENNSYLVANIA TARTAGLIONE,SENATE MENSCH,BILL HUGHES,Session CAPPELLETTI AND MUTH, JUNE 3, 2021 REFERRED TO FINANCE, JUNE 3, 2021 AN ACT Amending the act of MarchNo. 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;
734 2021 INTRODUCED BY HAYWOOD, SANTARSIERO, COSTA, KANE, TARTAGLIONE, MENSCH, HUGHES, CAPPELLETTI AND MUTH, JUNE 3, 2021 SENATOR HUTCHINSON, FINANCE, AS AMENDED, JUNE 8, 2021 AN ACT Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An <-- and enumerating certain subjects of taxation and imposingg taxes thereon;
prescribing crimes, offenses and penalties," in tax credit eligibility, further providing for definitions and for eligibility and providing for independent audit for tax credits, for additional requirements for certain tax credits, for independent audit for certain tax benefits, for additional requirements for tax benefits, for broker registration, for tax credit administration, for tax benefit administration and for guidelines;
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 TAX CREDIT ELIGIBILITY, FURTHER PROVIDING FOR AND ADMINISTRATION, FOR ASSESSMENT, FOR ADMINISTERING AGENCYN TRAINING, FOR BROKER REGISTRATION, FOR TAX CREDIT AND TAX BENEFIT REPORTS, FOR ALLOCATION OF TAX CREDITS OR TAX BENEFIT PROGRAM AWARDED UPON APPEAL AND FOR GUIDELINES;
IN RESEARCH AND DEVELOPMENT TAX CREDIT, FURTHER PROVIDING FOR CREDIT FOR RESEARCH AND DEVELOPMENT EXPENSES, FOR CARRYOVER, CARRYBACK, REFUND AND ASSIGNMENT OF CREDIT AND FOR REPORT TO GENERAL ASSEMBLY;
IN KEYSTONE INNOVATION ZONES, FURTHER PROVIDING FOR KEYSTONE INNOVATION ZONE TAX CREDITS AND FOR ANNUAL REPORT;
IN PROCEDURE AND ADMINISTRATION, FURTHER PROVIDING FOR PETITION FOR REASSESSMENT, FOR PETITION PROCEDURE AND FOR REVIEW BY BOARD;
AND MAKING EDITORIAL CHANGES.
The heading of Article XVII-A.1 of the act of <-- March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, is amended to read:
* * * "Tax benefit." A tax benefit authorized under any of the 20210SB0734PN0869 - 2 - following:
"Tax credit." A tax credit authorized under any of the 20210SB0734PN0836 - 2 - following:
20210SB0734PN0869 - 3 - (16.1) Article XIX-C.
20210SB0734PN0836 - 3 - Section 3.
The department may require the audited financial 20210SB0734PN0869 - 4 - statements due to material misrepresentations made on a tax credit application or if the administering agency suspects the applicant is committing fraudulent activity.
20210SB0734PN0836 - 4 - (1) Require the submission of all of the following with a tax credit application:
(2) Require that the applicant meet for an in-person interview with representatives or agents of the department to verify the application and materials provided under this 20210SB0734PN0869 - 5 - section.
20210SB0734PN0836 - 5 - (2) Advise a business that has been issued a tax credit of the responsibility of the business in filing reports concerning use of the tax credit as provided by law.
(a) Except as otherwise provided by law, before a tax benefit can be awarded, sold or assigned, the applicant may be 20210SB0734PN0869 - 6 - required to hire an independent auditor to prepare audited financial statements.
20210SB0734PN0836 - 6 - (a) Except as otherwise provided by law, before a tax benefit may be awarded, sold or assigned, the department, in consultation with the administering agency, may:
20210SB0734PN0869 - 7 - (2) Require that the applicant meet for an in-person interview with representatives or agents of the department to verify the application and materials provided under this section.
(1) Obtain appropriate training from the administering 20210SB0734PN0836 - 7 - agency for conducting on-site visits for the purposes of verifying compliance with all requirements relating to application for and issuance of a tax benefit.
20210SB0734PN0869 - 8 - (a) All brokers shall be registered under this section.
20210SB0734PN0836 - 8 - (2) Name and address of the business with which the broker is employed or otherwise associated that is located in this Commonwealth.
(8) Payment of any required application, licensing and 20210SB0734PN0869 - 9 - registration fees.
A registration issued under this section may be suspended or revoked by the department for 20210SB0734PN0836 - 9 - good cause.
(1) To audit a taxpayer, business firm or other 20210SB0734PN0869 - 10 - recipient of a tax credit, including the purchaser of a tax credit.
The seller and the broker shall be jointly and 20210SB0734PN0836 - 10 - severally liable for the amount due.
(2) To issue an assessment against a taxpayer, business firm or other recipient of a tax benefit if the department determines that the tax benefit was improperly issued or 20210SB0734PN0869 - 11 - improperly conferred.
20210SB0734PN0836 - 11 - Section 1710-A.1.
* * * (c) By [December 15] June 1 of the second calendar year following the close of the taxable year during which the Pennsylvania qualified research and development expense was incurred, the department shall notify the taxpayer of the amount of the taxpayer's research and development tax credit approved 20210SB0734PN0869 - 12 - by the department.
The report may also include 20210SB0734PN0836 - 12 - any recommendations for changes in the calculation or administration of the credit.
20210SB0734PN0869 - 13 - * * * Section 1908-F.
Notwithstanding any law providing for the confidentiality of tax records, the report shall include the names of all taxpayers awarded the credits, all taxpayers utilizing the credits, the amount of 20210SB0734PN0836 - 13 - credits approved and utilized by each taxpayer and the locations of the KIZ companies awarded the credits.
20210SB0734PN0836SECTION -1. 14 -
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THE HEADING OF ARTICLE XVII-A.1 OF THE ACT OF <-- MARCH 4, 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE OF 1971, IS AMENDED TO READ:
ARTICLE XVII-A.1 TAX CREDIT [ELIGIBILITY] AND TAX BENEFIT ADMINISTRATION SECTION 2.
THE DEFINITION OF "TAX CREDIT" IN SECTION 1701- A.1 OF THE ACT IS AMENDED AND THE SECTION IS AMENDED BY ADDING DEFINITIONS TO READ:
SECTION 1701-A.1.
DEFINITIONS.
THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE CONTEXT CLEARLY INDICATES OTHERWISE:
"ADMINISTERING AGENCY." A DEPARTMENT, BOARD OR COMMISSION THAT ADMINISTERS A TAX BENEFIT OR TAX CREDIT AS REQUIRED BY A LAW OF THIS COMMONWEALTH.
THE TERM INCLUDES A KEYSTONE 20210SB0734PN0869 - 14 - INNOVATION ZONE COORDINATOR UNDER ARTICLE XIX-F.
"APPLICANT." A PERSON APPLYING TO AN ADMINISTERING AGENCY FOR A TAX CREDIT OR A TAX BENEFIT.
"APPLICATION." AN APPLICATION SUBMITTED TO AN ADMINISTERING AGENCY BY AN APPLICANT FOR A TAX CREDIT OR TAX BENEFIT.
THE TERM INCLUDES A TRANSFER APPLICATION AND SUPPLEMENTAL DOCUMENTATION REQUIRED TO BE PROVIDED BY AN APPLICANT, INCLUDING REPORTS, RETURNS AND STATEMENTS.
"BROKER." A PERSON REGISTERED TO ENGAGE IN THE BUSINESS OF EFFECTUATING TRANSACTIONS IN TAX CREDITS FOR THE ACCOUNT OF OTHERS, INCLUDING ASSISTING A TAXPAYER TO APPLY FOR, SELL, TRANSFER, ASSIGN OR PURCHASE A TAX CREDIT.
THE TERM INCLUDES AN ENTITY AND ANY PARTNER, OFFICER, DIRECTOR OR AFFILIATE OF THE ENTITY OR A PERSON OCCUPYING A SIMILAR STATUS OR PERFORMING SIMILAR FUNCTIONS FOR THE ENTITY.
* * * "PERSON." ANY INDIVIDUAL, EMPLOYER, ASSOCIATION, FIDUCIARY, PARTNERSHIP, CORPORATION, ENTITY, ESTATE OR TRUST, WHETHER A RESIDENT OR NONRESIDENT OF THIS COMMONWEALTH.
"PROGRAM YEAR." THE ANNUAL PERIOD IN WHICH THE TAX CREDIT OR TAX BENEFIT OPERATES.
"RECIPIENT." A PERSON WHICH IS SOLD, ASSIGNED OR TRANSFERRED A TRANSFERRABLE TAX CREDIT.
"TAX BENEFIT." FOR PURPOSES OF THIS ARTICLE, A TAX BENEFIT AUTHORIZED UNDER ANY OF THE FOLLOWING:
(1) ARTICLE XVII-A.
(2) ARTICLE XVIII-C.
(3) ARTICLE XIX-B.
(4) ARTICLE XIX-D.
(5) ARTICLE XXIX-C.
20210SB0734PN0869 - 15 - (6) ARTICLE XXIX-D.
(7) THE ACT OF OCTOBER 6, 1998 (P.L.705, NO.92), KNOWN AS THE KEYSTONE OPPORTUNITY ZONE, KEYSTONE OPPORTUNITY EXPANSION ZONE AND KEYSTONE OPPORTUNITY IMPROVEMENT ZONE ACT.
"TAX CREDIT." A TAX CREDIT AUTHORIZED UNDER ANY OF THE FOLLOWING:
(1) ARTICLE XVII-B.
(2) ARTICLE XVII-D.
(3) ARTICLE XVII-E.
(4) ARTICLE XVII-G.
(5) ARTICLE XVII-H.
(6) ARTICLE XVII-I.
(7) ARTICLE XVII-J.
(8) ARTICLE XVII-K.
(8.1) ARTICLE XVII-L.
(9) ARTICLE XVIII.
(10) ARTICLE XVIII-B.
(11) ARTICLE XVIII-D.
(12) ARTICLE XVIII-E.
(13) ARTICLE XVIII-F.
(14) ARTICLE XVIII-G.
(14.1) ARTICLE XVIII-H.
(15) ARTICLE XIX-A.
(15.1) ARTICLE XIX-C.
(16) ARTICLE XIX-E.
(16.1) ARTICLE XIX-F.
(17) SECTION 2010.
(18) ARTICLE XXIX-D.
(19) ARTICLE XX-B OF THE ACT OF MARCH 10, 1949 (P.L.30, NO.14), KNOWN AS THE PUBLIC SCHOOL CODE OF 1949.
20210SB0734PN0869 - 16 - (20) THE ACT OF DECEMBER 1, 2004 (P.L.1750, NO.226), KNOWN AS THE FIRST CLASS CITIES ECONOMIC DEVELOPMENT DISTRICT ACT.
(21) 12 PA.C.S.
CH.
34 (RELATING TO INFRASTRUCTURE AND FACILITIES IMPROVEMENT PROGRAM).
(22) ANY OTHER PROGRAM ESTABLISHED BY A LAW OF THIS COMMONWEALTH IN WHICH A PERSON APPLIES FOR AND RECEIVES A CREDIT AGAINST A TAX.
THIS PARAGRAPH SHALL NOT APPLY TO A CREDIT AGAINST A TAX LIABILITY AS A RESULT OF AN OVERPAYMENT.
"TAXPAYER." A PERSON WHICH WAS APPROVED FOR A TAX CREDIT OR TAX BENEFIT OR WHICH OTHERWISE RECEIVED A TAX CREDIT.
"TRANSFER APPLICATION." AN APPLICATION SUBMITTED TO THE DEPARTMENT OR THE ADMINISTERING AGENCY BY AN APPLICANT OR A RECIPIENT AS PART OF THE SALE, ASSIGNMENT OR TRANSFER OF A TRANSFERRABLE TAX CREDIT TO A RECIPIENT.
"TRANSFERRABLE TAX CREDIT." A TAX CREDIT WHICH MAY BE SOLD, ASSIGNED OR TRANSFERRED FROM AN APPLICANT TO A DIFFERENT TAXPAYER.
THE TERM INCLUDES A TAX CREDIT WHICH MAY BE TRANSFERRED TO A SHAREHOLDER, MEMBER OR PARTNER OF AN APPLICANT.
SECTION 3.
SECTION 1702-A.1 OF THE ACT IS AMENDED TO READ:
SECTION 1702-A.1.
[ELIGIBILITY.] DETERMINATION OF ELIGIBILITY AND METHOD OF SUBMISSION.
(A) TAX REPORTS AND RETURNS.--EXCEPT AS OTHERWISE PROVIDED BY LAW, BEFORE A TAX CREDIT [CAN] OR TAX BENEFIT MAY BE AWARDED, THE DEPARTMENT [MAY] OR ADMINISTERING AGENCY, AS APPLICABLE, SHALL MAKE A FINDING THAT [THE TAXPAYER] AN APPLICANT OR A RECIPIENT HAS FILED ALL REQUIRED STATE TAX REPORTS AND RETURNS FOR ALL APPLICABLE TAXABLE YEARS AND PAID ANY BALANCE OF STATE TAX DUE AS DETERMINED AT SETTLEMENT OR ASSESSMENT BY THE DEPARTMENT, UNLESS THE TAX DUE IS [CURRENTLY] UNDER APPEAL AT 20210SB0734PN0869 - 17 - THE TIME THE FINDING WAS MADE BY THE DEPARTMENT OR ADMINISTERING AGENCY.
(B) [(RESERVED).] ELECTRONIC APPLICATIONS.--THE DEPARTMENT OR ADMINISTERING AGENCY, AS APPLICABLE, MAY REQUIRE AN APPLICATION FOR A TAX BENEFIT OR TAX CREDIT TO BE FILED ELECTRONICALLY.
SECTION 4.
THE ACT IS AMENDED BY ADDING SECTIONS TO READ:
SECTION 1703-A.1.
APPLICATION AND ADMINISTRATION.
(A) INSUFFICIENT APPLICATION.--IF AN ADMINISTERING AGENCY FINDS THAT AN APPLICATION IS INSUFFICIENT, THE DEPARTMENT, IN CONSULTATION WITH THE ADMINISTERING AGENCY, MAY DO ALL OF THE FOLLOWING:
(1) REQUIRE THE SUBMISSION OF ADDITIONAL DOCUMENTATION OR VERIFICATION WHICH VERIFIES MATERIAL IN THE APPLICATION.
ADDITIONAL DOCUMENTATION OR VERIFICATION REQUIRED UNDER THIS PARAGRAPH MAY INCLUDE ANY OF THE FOLLOWING:
(I) A COPY OF THE PHOTO IDENTIFICATION OF THE APPLICANT'S OR RECIPIENT'S CHIEF EXECUTIVE OFFICER AND AUTHORIZED REPRESENTATIVE RESPONSIBLE FOR SUBMITTING THE APPLICATION.
A COPY OF PHOTO IDENTIFICATION UNDER THIS SUBPARAGRAPH SHALL INCLUDE THE INDIVIDUAL'S NAME AND ADDRESS.
(II) BANK ACCOUNT STATEMENTS RELATING TO THE BUSINESS.
(III) BUSINESS RECORDS, INCLUDING RECEIPTS AND EXPENDITURES.
(IV) BUSINESS ORIGINATION DOCUMENTS, INCLUDING ARTICLES OF INCORPORATION, PARTNERSHIP OR REFERENCE TO DOCUMENTS UNDER THIS SUBPARAGRAPH IN RECORDS OF THE DEPARTMENT OF STATE OR SIMILAR ENTITY IN ANOTHER 20210SB0734PN0869 - 18 - JURISDICTION.
(V) ANY OTHER INFORMATION REQUIRED BY THE DEPARTMENT OR ADMINISTERING AGENCY TO VALIDATE THE APPLICATION.
(2) FOR AN APPLICANT WHICH IS NOT AN INDIVIDUAL, REQUIRE THAT THE APPLICANT OR RECIPIENT MEET FOR A VIRTUAL OR IN- PERSON INTERVIEW WITH REPRESENTATIVES OR AGENTS OF THE DEPARTMENT OR THE ADMINISTERING AGENCY TO VERIFY THE APPLICATION.
(3) FOR AN APPLICANT WHICH IS NOT AN INDIVIDUAL, REQUIRE THE APPLICANT OR RECIPIENT TO AGREE TO SUBMIT TO SCHEDULED OR UNSCHEDULED SITE INSPECTIONS BY THE DEPARTMENT, THE ADMINISTERING AGENCY OR REPRESENTATIVES OR AGENTS OF THE DEPARTMENT OR ADMINISTERING AGENCY.
IF THE SITE IS LOCATED IN AN AREA WHERE UNSCHEDULED SITE VISITS ARE NOT FEASIBLE, THE DEPARTMENT OR ADMINISTERING AGENCY SHALL PROVIDE SUFFICIENT NOTICE PRIOR TO THE VISIT.
(B) RISK CRITERIA.--THE DEPARTMENT AND AN ADMINISTERING AGENCY MAY JOINTLY DEVELOP RISK SCORING CRITERIA TO DETERMINE WHEN AN APPLICANT OR RECIPIENT MAY BE REQUIRED TO DO ANY OF THE FOLLOWING:
(1) AS A CONDITION OF APPROVAL OF THE APPLICATION, TO HIRE AN INDEPENDENT AUDITOR TO PREPARE AUDITED FINANCIAL STATEMENTS.
THE INDEPENDENT AUDITOR UNDER THIS PARAGRAPH SHALL BE A CERTIFIED PUBLIC ACCOUNTANT.
(2) PROVIDE INFORMATION WHICH SHALL BE INCLUDED IN THE AUDITED FINANCIAL STATEMENTS UNDER PARAGRAPH (1).
(3) REQUIRE THE AUDITED FINANCIAL STATEMENTS UNDER PARAGRAPH (1) TO BE SUBMITTED TO THE DEPARTMENT.
(C) REPORTS.--AN APPLICANT WHICH IS APPROVED FOR A TAX CREDIT OR TAX BENEFIT SHALL FILE AN ANNUAL REPORT WITH THE 20210SB0734PN0869 - 19 - DEPARTMENT OR ADMINISTERING AGENCY DETAILING ALL OF THE FOLLOWING:
(1) FOR A TRANSFERRABLE TAX CREDIT, ALL OF THE FOLLOWING:
(I) WHETHER THE APPLICANT USED, SOLD, ASSIGNED OR TRANSFERRED A PORTION OR ALL OF THE TAX CREDIT IN THE PRIOR PROGRAM YEAR.
(II) WHETHER THE TAX CREDIT WAS SOLD, ASSIGNED OR TRANSFERRED FOR CONSIDERATION IN THE PRIOR PROGRAM YEAR AND THE NAME OF THE RECIPIENT.
(III) IF THE TAX CREDIT WAS SOLD, ASSIGNED OR TRANSFERRED FOR CONSIDERATION, THE AMOUNT OF THE CONSIDERATION.
(IV) IF THE TAX CREDIT WAS SOLD, ASSIGNED OR TRANSFERRED FOR CONSIDERATION, WHETHER THE SALE, ASSIGNMENT OR TRANSFER WAS CONDUCTED WITH THE ASSISTANCE OF A BROKER AND THE NAME AND REGISTRATION NUMBER OF THE BROKER.
(2) IF APPLICABLE, AN ITEMIZATION OF EXPENSES, INCOME AND JOBS GENERATED AS A RESULT OF THE RECEIPT OF THE TAX CREDIT OR TAX BENEFIT.
(3) ANY OTHER INFORMATION THAT THE DEPARTMENT OR ADMINISTERING AGENCY DEEMS NECESSARY.
(D) SUBMISSION OF DATA.--THE DEPARTMENT OR ADMINISTERING AGENCY SHALL PROVIDE THE INFORMATION SUBMITTED UNDER SUBSECTION (C)(2) TO THE INDEPENDENT FISCAL OFFICE FOR USE IN PREPARING A TAX CREDIT REPORT UNDER SECTION 5 OF THE ACT OF OCTOBER 30, 2017 (P.L.797, NO.48), KNOWN AS THE PERFORMANCE-BASED BUDGETING AND TAX CREDIT EFFICIENCY ACT.
SECTION 1704-A.1.
ASSESSMENT.
20210SB0734PN0869 - 20 - (A) AUTHORIZATION.--THE DEPARTMENT MAY ISSUE AN ASSESSMENT AGAINST A TAXPAYER IF THE DEPARTMENT DETERMINES THAT A TAX CREDIT OR TAX BENEFIT WAS IMPROPERLY ISSUED OR THE BENEFITS OF THE TAX CREDIT OR TAX BENEFIT WERE IMPROPERLY CONFERRED.
(B) LIABILITY FOR ASSESSMENT.--IF A TAX CREDIT IS SOLD, TRANSFERRED OR ASSIGNED TO A BONA FIDE PURCHASER FOR CONSIDERATION, THE DEPARTMENT MAY ONLY ISSUE AN ASSESSMENT UNDER SUBSECTION (A) AGAINST THE PERSON SELLING THE TAX CREDIT AND THE BROKER WHICH SIGNED THE CERTIFICATION REQUIRED BY SECTION 1706- A.1(G).
A SELLER AND BROKER UNDER THIS SUBSECTION SHALL BE JOINTLY AND SEVERALLY LIABLE FOR THE AMOUNT DUE.
(C) PROCEDURES.--THE PROCEDURES, COLLECTION, ENFORCEMENT AND APPEALS OF AN ASSESSMENT MADE UNDER SUBSECTION (A) SHALL BE SUBJECT TO PART X OF ARTICLE III, EXCEPT THAT THE LIMITATIONS ON ASSESSMENT AND COLLECTION UNDER SECTION 348 SHALL NOT APPLY.
(D) LIMITATIONS.-- (1) EXCEPT AS PROVIDED UNDER PARAGRAPH (2), THE DEPARTMENT MUST ISSUE AN ASSESSMENT UNDER SUBSECTION (A) WITHIN THREE YEARS OF THE DATE THE TAX CREDIT OR TAX BENEFIT IS AWARDED OR WITHIN THREE YEARS OF THE DATE THE TAX CREDIT IS SOLD, TRANSFERRED OR ASSIGNED, WHICHEVER IS LATER.
(2) IF A TAXPAYER OBTAINS A TAX CREDIT OR TAX BENEFIT BY FRAUD, THE DEPARTMENT MAY ISSUE AN ASSESSMENT UNDER SUBSECTION (A) AT ANY TIME.
SECTION 1705-A.1.
ADMINISTERING AGENCY TRAINING.
(A) TRAINING.--AN ADMINISTERING AGENCY SHALL PROVIDE AGENCY EMPLOYEES AND REPRESENTATIVES AND AGENTS OF THE ADMINISTERING AGENCY WHO ASSIST APPLICANTS WITH APPLICATIONS WITH TRAINING ON ALL OF THE FOLLOWING:
(1) THE REQUIREMENTS FOR A TAX CREDIT OR TAX BENEFIT.
20210SB0734PN0869 - 21 - (2) ADVISING AN APPLICANT THAT HAS BEEN ISSUED A TAX CREDIT OR TAX BENEFIT OF THE DUTY OF THE BUSINESS TO FILE REPORTS CONCERNING USE OF THE TAX CREDIT OR TAX BENEFIT AS REQUIRED BY THE LAWS OF THIS COMMONWEALTH.
(3) CONDUCTING ONSITE VISITS TO VERIFY COMPLIANCE WITH THE REQUIREMENTS RELATING TO APPLICATION FOR AND ISSUANCE OF A TAX CREDIT OR TAX BENEFIT.
(4) CONDUCTING SCHEDULED AND UNSCHEDULED VISITS TO THE SITE OF A TAXPAYER TO ENSURE COMPLIANCE WITH THE REQUIREMENTS OF THE TAX CREDIT OR TAX BENEFIT.
(B) (RESERVED).
SECTION 1706-A.1.
BROKER REGISTRATION.
(A) REGISTRATION REQUIRED.--A BROKER SHALL BE REGISTERED WITH THE DEPARTMENT UNDER THIS SECTION.
AN AGENT OR OTHER PARTY REPRESENTING A BROKER OR ASSISTING A BROKER ON BEHALF OF AN APPLICANT EXECUTING AN APPLICATION FOR, PURCHASE OF OR SALE OF A TAX CREDIT SHALL REGISTER UNDER THIS SECTION.
(B) GUIDELINES.--THE DEPARTMENT, IN CONSULTATION WITH THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT, SHALL ESTABLISH GUIDELINES PROVIDING FOR THE APPLICATION AND REGISTRATION OF A BROKER UNDER THIS SECTION.
THE GUIDELINES SHALL REQUIRE ALL OF THE FOLLOWING:
(1) THE NAME AND ADDRESS OF THE BROKER SHOWING THAT THE BROKER RESIDES IN THIS COMMONWEALTH.
(2) THE NAME AND ADDRESS OF THE BUSINESS WITH WHICH THE BROKER IS EMPLOYED OR OTHERWISE ASSOCIATED THAT IS LOCATED IN THIS COMMONWEALTH.
(3) THAT THE BROKER BE AT LEAST 18 YEARS OF AGE.
(4) THE MINIMUM EDUCATIONAL REQUIREMENTS, QUALIFICATIONS AND EXPERIENCE NECESSARY FOR THE ISSUANCE OF A REGISTRATION 20210SB0734PN0869 - 22 - UNDER THIS SECTION.
(5) A CRIMINAL BACKGROUND CHECK PREPARED BY THE PENNSYLVANIA STATE POLICE THAT DEMONSTRATES THE BROKER HAS NOT BEEN CONVICTED OF A FELONY OFFENSE OR AN OFFENSE THAT INVOLVED FRAUD OR MISREPRESENTATION IN THIS COMMONWEALTH OR ANY OTHER JURISDICTION.
(6) A LIST OF EACH PROFESSIONAL LICENSE THAT HAS BEEN ISSUED TO THE BROKER AND WHETHER THE BROKER IS IN GOOD STANDING WITH THE LICENSING AUTHORITY.
(7) VERIFICATION THAT THE APPLICATION IS SUBMITTED IN ACCORDANCE WITH 18 PA.C.S.
§§ 4903 (RELATING TO FALSE SWEARING) AND 4904 (RELATING TO UNSWORN FALSIFICATION TO AUTHORITIES).
(8) PAYMENT OF ANY REQUIRED APPLICATION, LICENSING AND REGISTRATION FEES.
(9) TAX CLEARANCE SHOWING SATISFACTION OF ALL STATE AND LOCAL TAXES.
(C) APPLICATIONS.--A BROKER SHALL OBTAIN AN INITIAL OR RENEWED REGISTRATION BY FILING AN APPLICATION WITH THE DEPARTMENT, PROVIDING INFORMATION AND DOCUMENTATION AND PAYING ALL FEES AS REQUIRED BY THE DEPARTMENT.
(D) DURATION OF REGISTRATION.--A REGISTRATION UNDER THIS SECTION SHALL BE VALID FOR A PERIOD OF TWO YEARS FROM THE DATE OF ISSUANCE.
(E) REGISTRATION NUMBER.--A REGISTRATION UNDER THIS SECTION SHALL INCLUDE A UNIQUE REGISTRATION NUMBER FOR THE REGISTRANT.
A REGISTRATION UNDER THIS SECTION MAY BE SUSPENDED OR REVOKED BY THE DEPARTMENT FOR GOOD CAUSE.
(F) APPEALS.--A BROKER WHO IS DENIED A REGISTRATION UNDER THIS SECTION, OR WHOSE REGISTRATION IS SUSPENDED OR REVOKED, MAY 20210SB0734PN0869 - 23 - APPEAL THE DEPARTMENT'S DETERMINATION IN THE SAME MANNER AS PROVIDED BY ARTICLE XXVII.
(G) ATTACHMENT OF CERTIFICATION.--A BROKER EXECUTING THE SALE OF A TAX CREDIT OR ASSISTING AN APPLICANT OR A TAXPAYER TO APPLY FOR OR PURCHASE A TAX CREDIT SHALL ATTACH A CERTIFICATION TO THE APPLICATION THAT THE STATEMENTS AND REPRESENTATIONS MADE IN THE APPLICATION ARE TRUE AND CORRECT AND SUBJECT TO THE PENALTIES AS SET FORTH IN 18 PA.C.S.
§ 4903 OR 4904.
THE BROKER SHALL INCLUDE THE BROKER'S UNIQUE REGISTRATION NUMBER ISSUED BY THE DEPARTMENT IN THE CERTIFICATION UNDER THIS SECTION.
(H) FEES.--THE DEPARTMENT MAY REQUIRE THE PAYMENT OF AN APPLICATION FEE TO REVIEW AND PROCESS A REGISTRATION UNDER THIS SECTION.
(I) PENALTIES.--A PERSON WHO VIOLATES THE REQUIREMENTS SPECIFIED UNDER THIS SECTION SHALL PAY A CIVIL FINE OF $25,000 FOR THE FIRST OFFENSE AND $50,000 FOR EACH ADDITIONAL OFFENSE TO THE DEPARTMENT.
(J) BOND REQUIRED.--A BROKER REGISTERED UNDER THIS SECTION SHALL POST A BOND OF $50,000 WITH THE DEPARTMENT.
SECTION 1707-A.1.
TAX CREDIT AND TAX BENEFIT REPORTS.
(A) REPORTS.--NOTWITHSTANDING ANY LAW PROVIDING FOR THE CONFIDENTIALITY OF TAX CREDITS, BEGINNING WITH THE FIRST PROGRAM YEAR WHICH BEGINS AFTER THE EFFECTIVE DATE OF THIS SECTION AND EACH PROGRAM YEAR THEREAFTER, THE ADMINISTERING AGENCY SHALL PUBLISH A REPORT FOR EACH TAX CREDIT OR TAX BENEFIT, WHICH SHALL INCLUDE THE FOLLOWING INFORMATION:
(1) THE NAME OF EACH APPLICANT WHICH RECEIVED A TAX CREDIT OR TAX BENEFIT IN THE PRIOR PROGRAM YEAR.
FOR A TAX CREDIT, THE AMOUNT OF TAX CREDIT AWARDED TO EACH APPLICANT.
(2) FOR A TAX CREDIT, WHETHER AN APPLICANT UNDER 20210SB0734PN0869 - 24 - PARAGRAPH (1) SOLD, ASSIGNED OR TRANSFERRED A TAX CREDIT IN THE PRIOR PROGRAM YEAR.
(3) IF APPLICABLE, A SUMMARY OF THE DATA SUBMITTED UNDER SECTION 1703-A.1(C)(2).
(4) IF AVAILABLE, ALL OF THE FOLLOWING:
(I) THE NAME OF THE RECIPIENT TO WHICH THE TAX CREDIT UNDER PARAGRAPH (2) WAS SOLD, ASSIGNED OR TRANSFERRED IN THE PRIOR PROGRAM YEAR.
THE NAME OF AN INDIVIDUAL RECEIVING A TAX CREDIT WITHOUT CONSIDERATION FROM A PASS-THROUGH ENTITY IN WHICH THE INDIVIDUAL IS A SHAREHOLDER, MEMBER OR PARTNER SHALL NOT BE PUBLISHED.
(II) THE AMOUNT OF TAX CREDIT UNDER PARAGRAPH (2) THAT WAS SOLD, ASSIGNED OR TRANSFERRED IN THE PRIOR PROGRAM YEAR.
(III) THE PRICE FOR WHICH A TAX CREDIT UNDER PARAGRAPH (2) WAS SOLD, ASSIGNED OR TRANSFERRED.
(B) PUBLICATION.-- (1) EXCEPT AS PROVIDED UNDER PARAGRAPH (2), AN ADMINISTERING AGENCY SHALL PUBLISH A REPORT UNDER SUBSECTION (A) ON THE ADMINISTERING AGENCY'S PUBLICLY AVAILABLE INTERNET WEBSITE NO LATER THAN 45 DAYS AFTER THE END OF A PROGRAM YEAR.
(2) IF AN ADMINISTERING AGENCY IS REQUIRED BY A LAW OF THIS COMMONWEALTH TO PREPARE AN ANNUAL REPORT ON THE TAX CREDIT OR TAX BENEFIT, THE INFORMATION UNDER SUBSECTION (A) SHALL BE INCLUDED IN THE ANNUAL REPORT REQUIRED BY THE LAW OF THIS COMMONWEALTH.
SECTION 1708-A.1.
ALLOCATION OF TAX CREDITS OR TAX BENEFITS AWARDED UPON APPEAL.
(A) APPEAL.--IF AN ADMINISTERING AGENCY DENIES AN 20210SB0734PN0869 - 25 - APPLICANT'S APPLICATION FOR A TAX CREDIT OR TAX BENEFIT PROGRAM, THE APPLICANT MAY APPEAL THE ADMINISTERING AGENCY'S DETERMINATION IN THE SAME MANNER AS PROVIDED BY ARTICLE XXVII.
(B) AWARDING OF TAX CREDIT OR TAX BENEFIT UPON APPEAL.--THE FOLLOWING SHALL APPLY TO AN ALLOCATION OF TAX CREDITS AWARDED UPON THE FINAL RESOLUTION OF AN APPEAL:
(1) IF AN APPLICANT IS AWARDED A TAX CREDIT WHICH IS SUBJECT TO A TOTAL ANNUAL LIMITATION, UPON THE FINAL RESOLUTION OF AN APPEAL AFTER THE FULL ALLOCATION OF CREDITS AVAILABLE FOR A FISCAL YEAR IS COMPLETELY EXPENDED, THE ADMINISTERING AGENCY SHALL INCLUDE THE AWARDED TAX CREDIT WITHIN THE DISTRIBUTION OF TAX CREDITS IN THE NEXT PROGRAM YEAR AFTER THE RESOLUTION OF THE APPEAL FOR WHICH AN AMOUNT FOR ALLOCATION IS AVAILABLE.
(2) WHEN AWARDING A TAX CREDIT TO AN APPLICANT UNDER PARAGRAPH (1), THE ADMINISTERING AGENCY SHALL APPLY ANY REDUCTION IN THE AWARDED TAX CREDIT AMOUNT AS WAS APPLIED IN THE PROGRAM YEAR FOR WHICH THE CREDIT WAS DENIED IF THE REDUCTION WAS APPLIED DUE TO THE TOTAL CREDITS APPLIED FOR EXCEEDING THE AMOUNT OF CREDITS ALLOCATED FOR THE PROGRAM YEAR.
(3) WHEN AWARDING A TAX CREDIT TO AN APPLICANT UNDER PARAGRAPH (1), THE ADMINISTERING AGENCY SHALL REDUCE THE TOTAL AMOUNT OF CREDITS AVAILABLE FOR ALLOCATION IN THE NEXT PROGRAM YEAR BY THE AMOUNT OF CREDITS AWARDED.
(4) THE AWARDED TAX CREDITS UNDER PARAGRAPH (1) SHALL APPLY FOR THE PROGRAM YEAR IN WHICH THE CREDIT WAS DENIED.
(C) APPEAL.--IF THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT DENIES AN APPLICANT'S APPLICATION FOR A TAX CREDIT OR TAX BENEFIT PROGRAM, THE APPLICANT MAY APPEAL IN A MANNER 20210SB0734PN0869 - 26 - ESTABLISHED BY THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT.
(D) DEFINITION.--AS USED IN THIS SECTION, THE TERM "ADMINISTERING AGENCY" SHALL EXCLUDE THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT.
SECTION 1709-A.1.
GUIDELINES.
THE DEPARTMENT SHALL DEVELOP WRITTEN GUIDELINES FOR THE IMPLEMENTATION OF THIS ARTICLE.
SECTION 5.
SECTIONS 1703-B(A) AND (C), 1704-B(A) AND (B), 1711-B, 1906-F(B) AND (D) AND 1908-F OF THE ACT ARE AMENDED TO READ:
SECTION 1703-B.
CREDIT FOR RESEARCH AND DEVELOPMENT EXPENSES.--(A) A TAXPAYER WHO INCURS PENNSYLVANIA QUALIFIED RESEARCH AND DEVELOPMENT EXPENSE IN A TAXABLE YEAR MAY APPLY FOR A RESEARCH AND DEVELOPMENT TAX CREDIT AS PROVIDED IN THIS ARTICLE.
BY [SEPTEMBER 15] NOVEMBER 1, A TAXPAYER MUST SUBMIT AN APPLICATION TO THE DEPARTMENT FOR PENNSYLVANIA QUALIFIED RESEARCH AND DEVELOPMENT EXPENSE INCURRED IN THE TAXABLE YEAR THAT ENDED IN THE PRIOR CALENDAR YEAR.
* * * (C) BY [DECEMBER 15 OF THE] MAY 1 OF THE SECOND CALENDAR YEAR FOLLOWING THE CLOSE OF THE TAXABLE YEAR DURING WHICH THE PENNSYLVANIA QUALIFIED RESEARCH AND DEVELOPMENT EXPENSE WAS INCURRED, THE DEPARTMENT SHALL NOTIFY THE TAXPAYER OF THE AMOUNT OF THE TAXPAYER'S RESEARCH AND DEVELOPMENT TAX CREDIT APPROVED BY THE DEPARTMENT.
SECTION 1704-B.
CARRYOVER, CARRYBACK, REFUND AND ASSIGNMENT OF CREDIT.--(A) IF THE TAXPAYER CANNOT USE THE ENTIRE AMOUNT OF THE RESEARCH AND DEVELOPMENT TAX CREDIT FOR THE FIRST TAXABLE YEAR IN WHICH THE TAXPAYER APPLIED FOR A RESEARCH AND 20210SB0734PN0869 - 27 - DEVELOPMENT TAX CREDIT [IS FIRST APPROVED], THEN THE EXCESS MAY BE CARRIED OVER TO SUCCEEDING TAXABLE YEARS AND USED AS A CREDIT AGAINST THE QUALIFIED TAX LIABILITY OF THE TAXPAYER FOR THOSE TAXABLE YEARS.
EACH TIME THAT THE RESEARCH AND DEVELOPMENT TAX CREDIT IS CARRIED OVER TO A SUCCEEDING TAXABLE YEAR, IT IS TO BE REDUCED BY THE AMOUNT THAT WAS USED AS A CREDIT DURING THE IMMEDIATELY PRECEDING TAXABLE YEAR.
THE RESEARCH AND DEVELOPMENT TAX CREDIT PROVIDED BY THIS ARTICLE MAY BE CARRIED OVER AND APPLIED TO SUCCEEDING TAXABLE YEARS FOR NO MORE THAN FIFTEEN TAXABLE YEARS FOLLOWING THE FIRST TAXABLE YEAR FOR WHICH THE TAXPAYER WAS ENTITLED TO CLAIM THE CREDIT.
(B) A RESEARCH AND DEVELOPMENT TAX CREDIT APPROVED BY THE DEPARTMENT FOR PENNSYLVANIA QUALIFIED RESEARCH AND DEVELOPMENT EXPENSE IN A TAXABLE YEAR FIRST SHALL BE APPLIED AGAINST THE TAXPAYER'S QUALIFIED TAX LIABILITY FOR THE CURRENT TAXABLE YEAR AS OF THE DATE ON WHICH THE [CREDIT WAS APPROVED] TAXPAYER APPLIED FOR THE CREDIT BEFORE THE RESEARCH AND DEVELOPMENT TAX CREDIT IS APPLIED AGAINST ANY TAX LIABILITY UNDER SUBSECTION (A).
* * * SECTION 1711-B.
REPORT TO GENERAL ASSEMBLY.--THE SECRETARY SHALL SUBMIT AN ANNUAL REPORT TO THE GENERAL ASSEMBLY INDICATING THE EFFECTIVENESS OF THE CREDIT PROVIDED BY THIS ARTICLE NO LATER THAN [MARCH 15 FOLLOWING THE] OCTOBER 1 FOLLOWING THE CALENDAR YEAR IN WHICH THE CREDITS WERE APPROVED.
THE REPORT SHALL INCLUDE THE NAMES OF ALL TAXPAYERS UTILIZING THE CREDIT AS OF THE DATE OF THE REPORT AND THE AMOUNT OF CREDITS APPROVED AND UTILIZED BY EACH TAXPAYER.
NOTWITHSTANDING ANY LAW PROVIDING FOR THE CONFIDENTIALITY OF TAX RECORDS, THE INFORMATION CONTAINED IN THE REPORT SHALL BE PUBLIC INFORMATION.
THE REPORT MAY ALSO 20210SB0734PN0869 - 28 - INCLUDE ANY RECOMMENDATIONS FOR CHANGES IN THE CALCULATION OR ADMINISTRATION OF THE CREDIT.
SECTION 1906-F.
KEYSTONE INNOVATION ZONE TAX CREDITS.
* * * (B) APPLICATION FOR TAX CREDIT.--A KIZ COMPANY MAY FILE AN APPLICATION FOR A TAX CREDIT WITH THE DEPARTMENT.
AN APPLICATION UNDER THIS SUBSECTION MUST BE FILED BY [SEPTEMBER 15 OF EACH YEAR FOR THE PRIOR TAXABLE YEAR, BEGINNING SEPTEMBER 15, 2006] NOVEMBER 1 FOR THE PRIOR TAX YEAR.
THE APPLICATION MUST BE SUBMITTED ON A FORM REQUIRED BY THE DEPARTMENT AND MUST BE ACCOMPANIED BY A CERTIFICATION FROM THE KIZ COORDINATOR THAT THE KIZ COMPANY FALLS WITHIN A TARGETED INDUSTRY SEGMENT IDENTIFIED IN THE STRATEGIC PLAN ADOPTED BY THE KIZ PARTNERSHIP, AND MEET ANY OTHER REQUIREMENTS SPECIFIED BY THE DEPARTMENT.
THE DEPARTMENT SHALL REVIEW THE APPLICATION AND, UPON BEING SATISFIED THAT ALL REQUIREMENTS HAVE BEEN MET, THE DEPARTMENT SHALL ISSUE A TAX CREDIT CERTIFICATE TO THE KIZ COMPANY.
ALL CERTIFICATES SHALL BE AWARDED BY [DECEMBER 15 OF EACH YEAR] MAY 1 OF EACH YEAR FOLLOWING THE CALENDAR YEAR OF APPLICATION.
* * * (D) APPLICATION OF TAX CREDIT AND ELECTION.--A TAX CREDIT APPROVED UNDER THIS SECTION MUST BE FIRST APPLIED AGAINST THE KIZ COMPANY'S TAX LIABILITY UNDER ARTICLE III, IV OR VI, FOR THE TAXABLE YEAR [DURING] IN WHICH THE TAXPAYER APPLIED FOR THE TAX CREDIT [IS APPROVED].
IF THE AMOUNT OF TAX LIABILITY OWED BY THE KIZ COMPANY IS LESS THAN THE AMOUNT OF THE TAX CREDIT, THE KIZ COMPANY MAY ELECT TO CARRY FORWARD THE AMOUNT OF THE REMAINING TAX CREDIT FOR A PERIOD NOT TO EXCEED FOUR ADDITIONAL TAXABLE YEARS AND TO APPLY THE CREDIT AGAINST TAX LIABILITY INCURRED DURING THOSE TAX YEARS;
OR THE KIZ COMPANY MAY ELECT TO SELL OR 20210SB0734PN0869 - 29 - ASSIGN A PORTION OF THE TAX CREDIT IN ACCORDANCE WITH THE PROVISIONS OF SUBSECTION (F).
A KIZ COMPANY MAY NOT CARRY BACK OR OBTAIN A REFUND OF AN UNUSED KEYSTONE INNOVATION ZONE TAX CREDIT.
* * * SECTION 1908-F.
ANNUAL REPORT.
THE DEPARTMENT SHALL SUBMIT AN ANNUAL REPORT TO THE SECRETARY OF THE SENATE AND THE CHIEF CLERK OF THE HOUSE OF REPRESENTATIVES INDICATING THE EFFECTIVENESS OF THE KEYSTONE INNOVATION ZONE TAX CREDIT PROVIDED BY THIS ARTICLE BY [DECEMBER 31 OF EACH YEAR, BEGINNING DECEMBER 31, 2007] OCTOBER 1 OF EACH YEAR FOLLOWING THE CALENDAR YEAR OF APPLICATION.
NOTWITHSTANDING ANY LAW PROVIDING FOR THE CONFIDENTIALITY OF TAX RECORDS, THE REPORT SHALL INCLUDE THE NAMES OF ALL TAXPAYERS AWARDED THE CREDITS, ALL TAXPAYERS UTILIZING THE CREDITS, THE AMOUNT OF CREDITS APPROVED AND UTILIZED BY EACH TAXPAYER AND THE LOCATIONS OF THE KIZ COMPANIES AWARDED THE CREDITS.
THE REPORT SHALL BE A PUBLIC DOCUMENT.
SECTION 6.
SECTION 2702 OF THE ACT IS AMENDED BY ADDING A SUBSECTION TO READ:
SECTION 2702.
PETITION FOR REASSESSMENT.
* * * (A.2) PETITION FOR REVIEW OF DENIAL OF TAX CREDIT OR TAX BENEFIT.--THE FOLLOWING APPLY:
(1) A PETITION FOR REASSESSMENT UNDER SUBSECTION (A) MAY INCLUDE A REQUEST FOR REVIEW OF A DENIAL OF AN APPLICATION FOR A TAX CREDIT OR TAX BENEFIT MADE BY AN ADMINISTERING AGENCY.
(2) THE ADMINISTERING AGENCY SHALL HAVE THE RIGHT TO BE REPRESENTED IN ALL PROCEEDINGS BEFORE THE DEPARTMENT.
AN 20210SB0734PN0869 - 30 - APPLICANT FILING A PETITION UNDER PARAGRAPH (1) SHALL PROVIDE A COPY OF THE PETITION TO THE ADMINISTERING AGENCY WITHIN 30 DAYS OF THE APPLICANT FILING THE PETITION WITH THE DEPARTMENT.
(3) THE DEPARTMENT'S REVIEW OF A PETITION FILED UNDER PARAGRAPH (1) SHALL BE LIMITED TO THE ADMINISTERING AGENCY'S DENIAL OF A TAX CREDIT OR TAX BENEFIT AND SHALL NOT INCLUDE A REVIEW OF ANY UNDERLYING TAX DETERMINATIONS.
(4) FOR THE PURPOSES OF THIS SUBSECTION:
(I) THE TERMS "APPLICANT," "TAX BENEFIT" AND "TAX CREDIT" SHALL HAVE THE SAME MEANING AS IN SECTION 1701- A.1.
(II) THE TERM "ADMINISTERING AGENCY" SHALL HAVE THE SAME MEANING AS IN SECTION 1701-A.1 BUT SHALL NOT INCLUDE THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT.
* * * SECTION 7.
SECTION 2703(A) OF THE ACT IS AMENDED BY ADDING PARAGRAPHS AND THE SECTION IS AMENDED BY ADDING A SUBSECTION TO READ:
SECTION 2703.
PETITION PROCEDURE.
(A) CONTENT OF PETITION.-- * * * (2.2) A PETITION FOR REVIEW OF TAX ADJUSTMENT NOT RESULTING IN AN INCREASE IN LIABILITY SHALL STATE:
(I) THE TAX TYPE AND TAX PERIODS INCLUDED WITHIN THE PETITION.
(II) THE AMOUNT OF THE TAX THAT THE TAXPAYER CLAIMS TO HAVE BEEN ERRONEOUSLY ADJUSTED.
(III) THE BASIS UPON WHICH THE TAXPAYER CLAIMS THAT THE ADJUSTMENT IS ERRONEOUS.
20210SB0734PN0869 - 31 - (2.3) A PETITION FOR REVIEW OF DENIAL OF TAX CREDIT OR TAX BENEFIT SHALL STATE:
(I) THE TAX CREDIT OR TAX BENEFIT PROGRAM FOR WHICH THE APPLICANT WAS DENIED.
(II) THE AMOUNT OF THE TAX CREDIT OR TAX BENEFIT THAT THE TAXPAYER CLAIMS TO HAVE BEEN ERRONEOUSLY DENIED.
(III) THE BASIS UPON WHICH THE TAXPAYER CLAIMS THAT THE DENIAL IS ERRONEOUS.
* * * (B.1) PARTICIPATION OF ADMINISTERING AGENCY.--AN ADMINISTERING AGENCY OF A TAX CREDIT OR TAX BENEFIT SHALL BE PERMITTED TO PARTICIPATE IN A HEARING BEFORE THE DEPARTMENT.
THE DEPARTMENT SHALL NOTIFY THE ADMINISTERING AGENCY OF THE DATE, TIME AND PLACE WHERE THE HEARING WILL BE HELD.
THE ADMINISTERING AGENCY SHALL BE PROVIDED THE OPPORTUNITY TO COMMENT UPON ANY SUBMITTED EVIDENCE AND PROVIDE WRITTEN AND ORAL ARGUMENT TO SUPPORT ITS DENIAL.
* * * SECTION 8.
SECTION 2704(D.1) OF THE ACT IS AMENDED BY ADDING A PARAGRAPH TO READ:
SECTION 2704.
REVIEW BY BOARD.
* * * (D.1) REPRESENTATION.-- * * * (3) AN ADMINISTERING AGENCY OF A TAX CREDIT OR TAX BENEFIT SHALL BE PERMITTED TO PARTICIPATE IN ALL PROCEEDINGS BEFORE THE BOARD.
THE BOARD SHALL NOTIFY THE ADMINISTERING AGENCY OF THE DATE, TIME AND PLACE WHERE THE HEARING WILL BE HELD.
THE ADMINISTERING AGENCY SHALL BE PROVIDED THE OPPORTUNITY TO COMMENT UPON ANY SUBMITTED EVIDENCE AND 20210SB0734PN0869 - 32 - PROVIDE WRITTEN AND ORAL ARGUMENT TO SUPPORT ITS DENIAL.
* * * SECTION 9.
THIS ACT SHALL TAKE EFFECT AS FOLLOWS:
(1) THIS SECTION SHALL TAKE EFFECT IMMEDIATELY.
(2) THE ADDITION OF SECTION 1706-A.1 OF THE ACT SHALL TAKE EFFECT IN 180 DAYS.
(3) THE REMAINDER OF THIS ACT SHALL TAKE EFFECT IN 30 DAYS.
20210SB0734PN0869 - 33 -
Show all 276 changed rows (236 more)
Action History
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Re-referred to APPROPRIATIONS
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Second consideration
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First consideration
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PN 0869 Reported as amended
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PN 0836 Referred to FINANCE
Sponsors
- Mensch · Cosponsor
- Vincent J. Hughes · Cosponsor
- Amanda M. Cappelletti · Cosponsor
- Katie J. Muth · Cosponsor
- Art Haywood · Primary
- Steven J. Santarsiero · Cosponsor
- Jay Costa · Cosponsor
- John I. Kane · Cosponsor
- Christine M. Tartaglione · Cosponsor
Sponsorship breakdown
Export CSV (upgrade) →1 sponsors · 8 co-sponsors · 244 not signed on
Sponsors (1)
- Art Haywood Democratic
Co-sponsors (8)
- Mensch
- Vincent J. Hughes Democratic
- Amanda M. Cappelletti Democratic
- Katie J. Muth Democratic
- Steven J. Santarsiero Democratic
- Jay Costa Democratic
- John I. Kane Democratic
- Christine M. Tartaglione Democratic
Not signed on (244)
244 members have not signed on to this bill.
Show all 244 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Votes
| Party | Yea | Nay | Present | Not Voting |
|---|---|---|---|---|
| Republican | 5 | 0 | 0 | 0 |
| Unaffiliated | 2 | 0 | 0 | 0 |
| Democratic | 4 | 0 | 0 | 0 |
| Total | 11 | 0 | 0 | 0 |
| % of votes cast | 100% | 0% | 0% | 0% |
How each member voted (11)
| Member | Party | Vote |
|---|---|---|
| BROWNE | — | Yea |
| CORMAN | — | Yea |
| Art Haywood | Democratic | Yea |
| Katie J. Muth | Democratic | Yea |
| Vincent J. Hughes | Democratic | Yea |
| Wayne D. Fontana | Democratic | Yea |
| David G. Argall | Republican | Yea |
| Judy Ward | Republican | Yea |
| Kristin Phillips-Hill | Republican | Yea |
| Michele Brooks | Republican | Yea |
| Scott E. Hutchinson | Republican | Yea |
Subjects
Frequently asked questions
- Who sponsors SB 734?
- SB 734 is sponsored by Mensch, Vincent J. Hughes (Democratic), Amanda M. Cappelletti (Democratic), Katie J. Muth (Democratic), Art Haywood (Democratic), Steven J. Santarsiero (Democratic), Jay Costa (Democratic), John I. Kane (Democratic), and Christine M. Tartaglione (Democratic).
- What is the current status of SB 734?
- This bill died with 2021-2022 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
- Where can I track SB 734?
- Track SB 734 free on One Click Politics — get push/email alerts when it moves.
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