Advocacy in Action
As part of our commitment to monitoring state legislation and regulatory actions, communicating crucial legislative and regulatory updates to members, and fervently advocating on behalf of the PICPA, we take great pride in sharing the significant strides we have recently made in the realm of legislative accomplishments.
By leveraging our expertise and strategic partnerships, we have successfully influenced key legislative decisions, shaped regulatory frameworks, and secured favorable outcomes for our members and the broader community. These legislative accomplishments underscore our unwavering dedication to advocating for positive change, driving impactful reforms, and safeguarding the interests of CPAs across Pennsylvania.
2023-2024 Accomplishments
Act 64 of 2023 incorporates the federal grantor trust provisions into Pennsylvania law, and significantly enhances tax compliance and simplifies the filing process for Pennsylvania residents. This harmony with federal standards will not only alleviate a burden on taxpayers but also contribute to a more efficient and equitable tax system for the state. Signed into law on Dec. 15, 2023.
Read more in Legislative Update article.
House Resolution 253 designates Nov. 13 through Nov. 17, 2023, as CPA Week in Pennsylvania. The resolution honors PICPA and its 20,000 members for promoting economic growth in Pennsylvania and providing important services to hundreds of thousands of taxpayers and businesses. Adopted on Nov. 14, 2023.
Read more in Legislative Update article.
2021-2022 Accomplishments
Act 110 of 2022 enacted much-needed changes to Pennsylvania's CPA Law. These changes include the following:
- Directs the Pennsylvania State Board of Accountancy to adopt a nationally recognized code of professional conduct.
- Revises numerous peer review standards.
- Expands the scope of classes eligible for an accounting degree to include economics and technology.
- Permits an applicant for licensure to sit for the CPA Exam upon completing 120 semester credits without a degree being conferred.
Act 108 of 2022 provides a phase-in schedule for increasing the threshold that requires quarterly estimated personal income tax (PIT) payments; creates and expands tax credit programs to support targeted investments in key industries. Signed into law on Nov. 3, 2022.
Act 103 of 2022 extends the ability of businesses operating in Philadelphia to carry forward net operating losses (NOLs) from three years to 20 years. Signed into law on Nov. 3, 2022.
Act 53 of 2022 incorporates tax law changes, including a CNI rate decrease, and includes Federal conformity to IRC Section 179 expense deductions and to IRC Section 1031 like-kind exchanges. Signed into law on July 8, 2022.
Act 17 of 2022 amends the Local Tax Enabling Act further providing for declaration and payment of income taxes in the consolidated collection of local income taxes. Signed into law on April 19, 2022.
Act 10 of 2021 changed the corporate tax due date to the 15th day of the month following the federal tax due date and addressed the inconsistency with the local tax filing due date in 2021 by making a permanent change so that the local tax due date updates automatically when the federal and state due dates are moved. Signed into law on April 22, 2021.
Act 1 of 2021 exempted Paycheck Protection Program loans that were forgiven from the state personal income tax. Signed into law on Feb. 5, 2021.
2019-2020 Accomplishments
Act 90 of 2019 amends the Tax Reform Code, in personal income tax (PIT), to establish a 10-year period for the Department of Revenue (DOR) to collect all assessed state taxes. It provides an exception for the inheritance tax and an exclusion from the sales and use tax for canned computer software used by a financial institution engaged in banking. It authorizes the DOR to enter into agreements with financial institutions and for institutions to share with the DOR bank account data for purposes of delinquent tax collections. The section relating to the time period for collection of assessed taxes took effect on Jan. 1, 2021. Signed into law on Nov. 27, 2019.
Act 13 of 2019 stipulates that if the executor of an estate and the trustee of a trust make an election under Section 645 of the Internal Revenue Code to treat the income of the trust as part of the estate, the fiduciary may make and file a joint tax return for the estate and trust. If a joint return is filed, the tax liabilities of the estate and trust shall be joint and several. This provision applies to taxable years beginning after Dec. 31, 2019. Signed into law on June 28, 2019.
