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Bill > SB473


PA SB473

In sales and use tax, further providing for discount.


summary

Introduced
03/19/2025
In Committee
03/31/2025
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 sales and use tax, further providing for discount.

AI Summary

This bill modifies the discount provisions for sales and use tax collection in Pennsylvania, changing how businesses can receive a credit for collecting and promptly remitting sales taxes. Under the new provision, businesses will be allowed to take a one percent discount on the first one million dollars of taxable revenue collected, and a reduced one-quarter percent discount on any taxable revenue exceeding one million dollars. This replaces the previous tiered system that provided different fixed dollar amount discounts based on filing frequency (monthly, quarterly, or semiannual). The bill aims to provide a more standardized and potentially more beneficial discount structure for businesses that collect and remit sales taxes, with the discount serving as compensation for the administrative costs of tax collection. The new provisions will take effect 60 days after the bill's enactment, giving businesses time to adjust to the new discount calculation method.

Committee Categories

Budget and Finance

Sponsors (9)

Last Action

Re-referred to APPROPRIATIONS (on 03/31/2025)

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