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PA HB152

PA HB152
In personal income tax, further providing for classes of income.


summary

Introduced
01/16/2025
In Committee
01/16/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

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 personal income tax, further providing for classes of income.

AI Summary

This bill amends the Tax Reform Code of 1971 to exclude from personal income tax any housing allowance provided by a church or religious organization to an ordained, commissioned, or licensed religious leader. Specifically, the bill creates a new subsection that ensures that housing allowances are tax-exempt, regardless of whether the housing is located on property owned by the church or religious denomination. This tax exemption applies to individuals who have the authority to conduct religious worship, perform sacerdotal functions, and administer ordinances or sacraments according to their church's prescribed practices. The new tax provision will take effect for taxable years beginning after December 31, 2023, and the act itself takes effect immediately upon enactment. This change provides a tax benefit for religious leaders by ensuring that housing allowances they receive are not counted as taxable income under Pennsylvania state law.

Committee Categories

Budget and Finance

Sponsors (5)

Last Action

Referred to Finance (on 01/16/2025)

bill text


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