We provide here a written summary of answers provided by the Department of Revenue to the committee at periodic question and answer sessions. These documents are classified as Revenue information issued for informational purposes only for the convenience of PICPA members. Pursuant to 61 Pa. Code Section 3.4, these documents should not be relied upon for any purpose or used in tax appeals. Taxpayers requiring a binding opinion on a specific fact situation may request a written letter ruling under 61 Pa. Code Section 3.3.
Q&A with the Pennsylvania Department of Revenue
In the event the DOR does not accept the Schedule C as filed, and denies some expenses resulting in a change in taxable income, will that information be shared with the IRS and local taxing authorities?
If adjustments fall within an IRS request or affect the federal income tax, it may be shared with the IRS. Local taxing authorities will get income adjustments.