Q&A with Pennsylvania Department of Revenue

2015

The PICPA State and Federal Taxation committees meet with the Pennsylvania Department of Revenue annually to discuss issues affecting both practitioners and their clients. Topics covered include personal income tax and corporate tax, sales and use tax, and administrative issues.

Administrative

Is there a 30-day grace period if someone resubmits a completed RCT-101 after finding out that the original form was incomplete?
What is the DOR's criteria for appealing to Commonwealth Court an Order of the Board of Finance and Revenue, and who within the Department (including its Office of Chief Counsel) must approve such Appeals?
What is the DOR's criteria for making a Request for Reconsideration with the Board of Finance and Revenue, and who within the DOR (including its Office of Chief Counsel) must approve such Requests?
What changes are being planned with respect to ITS notices and processes? When can we expect to see these changes?
What matters does the Department expect to address through the regulatory process in the near future? What is the status of these projects?
What issues of tax administration, procedure or technical corrections would the Department like to see addressed legislatively? What role could the PICPA play in this effort?
Will the DOR continue to issue the standard corporate tax notices that it has been issuing (e.g., notice of adjustment, billing notice, assessment, etc.) or does it plan on making changes to the notices it has typically issued?
Scenario: A business return is not marked with an extension “Y” box and there was a federal extension filed, but PA system seems to automatically send out a Notice of Assessment for penalties.
We understand there is a large backlog of cases at the Board of Appeals. Does the DOR have a plan for alleviating the backlog and moving cases through more speedily?
Scenario: In 2008, GHI Corp., a DE corp., acquired all stock of JKL Corp. In 2009, JKL Corp. is merged into GHI Corp. JKL Corp. never obtained a corporate clearance.

Pass Through

Corporate Tax

Personal Income Tax

Sales and Use Tax

Specialty Taxes

Is a PA trust company subject to the Bank Shares Tax also subject to the Corporate Net Income Tax and the Capital Stock and Franchise Tax?