Bill > HB623

This bill amends the Tax Reform Code of 1971 to modify definitions related to personal income tax, specifically expanding the definition of "compensation" and introducing a new definition for "domestic abuse". The bill allows individuals who are victims of domestic abuse to make early withdrawals from retirement accounts without penalty, provided they self-certify their victim status within a five-year period preceding the withdrawal. The definition of "domestic abuse" is broadened to include physical, psychological, sexual, emotional, and economic abuse, with specific emphasis on efforts to control, isolate, humiliate, or intimidate a victim, including abuse directed at the victim's children or other family members living in the household. The bill aims to provide financial flexibility and protection for individuals who have experienced domestic abuse by allowing them to access retirement funds without typical early withdrawal restrictions. The amendments will take effect 60 days after the bill's passage, providing a clear timeline for implementation of these new provisions.

Budget and Finance

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=H&type=B&bn=623