Bill Text: PA HB1292 | 2011-2012 | Regular Session | Introduced


Bill Title: In inheritance tax, providing for expiration and further providing for imposition of tax, for inheritance tax rates and for estate tax.

Spectrum: Moderate Partisan Bill (Republican 49-6)

Status: (Introduced - Dead) 2011-04-06 - Referred to FINANCE [HB1292 Detail]

Download: Pennsylvania-2011-HB1292-Introduced.html

  

 

    

PRINTER'S NO.  1459

  

THE GENERAL ASSEMBLY OF PENNSYLVANIA

  

HOUSE BILL

 

No.

1292

Session of

2011

  

  

INTRODUCED BY PERRY, AUMENT, BAKER, BEAR, BENNINGHOFF, BLOOM, BOYD, D. COSTA, COX, CREIGHTON, CUTLER, DONATUCCI, EVERETT, GABLER, GEIST, GILLEN, GILLESPIE, GINGRICH, GOODMAN, HARHART, HARRIS, HESS, HICKERNELL, HUTCHINSON, KAUFFMAN, M. K. KELLER, KILLION, MAJOR, MARSHALL, MARSICO, METCALFE, METZGAR, MILLARD, MILLER, MURT, MUSTIO, PETRARCA, PICKETT, PYLE, RAPP, READSHAW, REESE, REICHLEY, ROAE, ROCK, SONNEY, STERN, STEVENSON, SWANGER, TOEPEL, VULAKOVICH, YOUNGBLOOD AND MOUL, APRIL 6, 2011

  

  

REFERRED TO COMMITTEE ON FINANCE, APRIL 6, 2011  

  

  

  

AN ACT

  

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Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An

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act relating to tax reform and State taxation by codifying

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and enumerating certain subjects of taxation and imposing

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taxes thereon; providing procedures for the payment,

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collection, administration and enforcement thereof; providing

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for tax credits in certain cases; conferring powers and

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imposing duties upon the Department of Revenue, certain

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employers, fiduciaries, individuals, persons, corporations

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and other entities; prescribing crimes, offenses and

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penalties," in inheritance tax, providing for expiration and

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further providing for imposition of tax, for inheritance tax

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rates and for estate tax.

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The General Assembly of the Commonwealth of Pennsylvania

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hereby enacts as follows:

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Section 1.  The act of March 4, 1971 (P.L.6, No.2), known as

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the Tax Reform Code of 1971, is amended by adding a section to

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read:

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Section 2104.  Expiration.--The provisions of this article

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shall not apply to the estates of decedents dying on or after

 


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January 1, 2016.

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Section 2.  Section 2106 of the act, added August 4, 1991

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(P.L.97, No.22), is amended to read:

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Section 2106.  Imposition of Tax.--(a)  An inheritance tax

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for the use of the Commonwealth is imposed upon every transfer

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subject to tax under this article at the rates specified in

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section 2116.

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(b)  This section shall not apply to the estates of decedents

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dying on or after January 1, 2017.

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Section 3.  Section 2116(a) of the act, amended May 24, 2000

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(P.L.106, No.23), is amended to read:

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Section 2116.  Inheritance Tax.--(a)  (1)  Inheritance tax

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upon the transfer of property passing to or for the use of [any

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of the following shall be at the rate of four and one-half per

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cent:

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(i)  grandfather, grandmother, father, mother, except

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transfers under subclause (1.2), and lineal descendants; or

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(ii)  wife or widow and husband or widower of a child.] a

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grandfather, grandmother, father, mother, except transfers under

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subclause (1.2), lineal descendants, wife or widow and husband

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or widower of a child shall be at the rate provided in the

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following schedule:

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(i)  Four and one-half per cent for the estate of a decedent

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dying before or during calendar year 2012.

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(ii)  Two per cent for the estate of a decedent dying during

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calendar year 2013.

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(iii)  Zero per cent for the estate of a decedent dying

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during or after calendar year 2014.

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(1.1)  Inheritance tax upon the transfer of property passing

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to or for the use of a husband or wife shall be:

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(i)  At the rate of three per cent for estates of decedents

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dying on or after July 1, 1994, and before January 1, 1995.

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(ii)  At a rate of zero per cent for estates of decedents

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dying on or after January 1, 1995.

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(1.2)  Inheritance tax upon the transfer of property from a

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child twenty-one years of age or younger to or for the use of a

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natural parent, an adoptive parent or a stepparent of the child

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shall be at the rate of zero per cent.

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(1.3)  Inheritance tax upon the transfer of property passing

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to or for the use of a sibling shall be at the rate [of twelve

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per cent.] provided in the following schedule:

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(i)  Twelve per cent for the estate of a decedent dying

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before or during calendar year 2012.

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(ii)  Nine per cent for the estate of a decedent dying during

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calendar year 2013.

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(iii)  Six per cent for the estate of a decedent dying during

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or after calendar year 2014.

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(iv)  Four and one-half per cent for the estate of a decedent

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dying during calendar year 2015.

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(v)  Two per cent for the estate of a decedent dying during

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calendar year 2016.

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(vi)  Zero per cent for the estate of a decedent dying during

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or after calendar year 2017.

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(1.4)  Inheritance tax upon the transfer of property that is

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jointly held between a child and a natural parent, an adoptive

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parent or a stepparent of the child to the natural parent,

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adoptive parent or the stepparent shall be at the rate of zero

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per cent.

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(2)  Inheritance tax upon the transfer of property passing to

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or for the use of all persons other than those designated in

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subclause (1), (1.1), (1.2) or (1.3) or exempt under section

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2111(m) shall be at the rate [of fifteen per cent.] provided in

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the following schedule:

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(i)  Fifteen per cent for the estate of a decedent dying

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before or during calendar year 2012.

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(ii)  Ten per cent for the estate of a decedent dying during

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calendar year 2013.

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(iii)  Seven per cent for the estate of a decedent dying

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during or after calendar year 2014.

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(iv)  Four and one-half per cent for the estate of a decedent

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dying during calendar year 2015.

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(v)  Two per cent for the estate of a decedent dying during

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calendar year 2016.

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(vi)  Zero per cent for the estate of a decedent dying during

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or after calendar year 2017.

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(3)  When property passes to or for the use of a husband and

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wife with right of survivorship, one of whom is taxable at a

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rate lower than the other, the lower rate of tax shall be

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applied to the entire interest.

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* * *

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Section 4.  Section 2117 of the act is amended by adding a

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subsection to read:

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Section 2117.  Estate Tax.--* * *

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(d)  This section shall not apply to the estates of decedents

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dying on or after January 1, 2017.

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Section 5.  This act shall take effect July 1, 2011, or

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immediately, whichever is later.

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