Act 90 of 2019
On Nov. 27, Gov. Tom Wolf signed into law a commonsense measure that will help both taxpayers and practitioners deal with unnerving notices from the Pennsylvania Department of Revenue (DOR). In many cases, these notices addressed decades-old tax filings.
Act 90 of 2019 (formerly House Bill 17) establishes a 10-year window for the DOR to collect taxes beginning Jan. 1, 2021. The provision applies to all taxes collected by the DOR, except the inheritance tax. Other exceptions include, but are not limited to, cases of fraud or willfully failing to file. The bill passed both the House and Senate in bipartisan fashion, marking the culmination of a nearly two-year effort by the PICPA.
Act 13 of 2019
Championed by PICPA member Rep. Keith Greiner, CPA (R-Lancaster), House Bill 706 was amended into omnibus legislation, House Bill 262, and signed into law as Act 13.
The Greiner-PICPA amendment provides 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 a trust as part of the estate, the fiduciary may make and file a joint state 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.