Dept of Revenue

The Pennsylvania Department of Revenue will offer a limited opportunity, between April 21 and June 19 for individuals and businesses with past due taxes to come into compliance, according to Senate Majority Appropriations Committee Chairman Pat Browne, R-16th.

Act 84 of 2016 established the Pennsylvania Tax Amnesty Program, which applies to nearly all overdue state taxes for most individuals and businesses not paid as of the end of 2015.

To participate, taxpayers must file an online amnesty return.

“While most individuals and businesses pay their taxes and on time, some businesses or individuals, for whatever reason, may not have. This limited-time amnesty program gives those with delinquent taxes one last opportunity to pay off their debts at a fraction of the interest and penalty costs and come back into compliance with the state of Pennsylvania,” Sen. Browne said. “This program also gives that state, which is facing significant financial challenges, the chance to collect overdue taxes that it may not otherwise be able to get.”

Those eligible must make the required tax payment and, in return, the Department of Revenue will waive all penalties incurred, the collection and lien fees assessed and half of the interest due. Individuals and businesses that are eligible for the Amnesty program and do not participate will be subjected to a five percent participation penalty to be added to their past due balance.

Taxpayers who participated in the 2010 tax amnesty program are ineligible to participate.

The amnesty program is only for unpaid Pennsylvania taxes.

Unpaid local, federal and property taxes do not fall under the purview of this program.

Unpaid or underpaid taxes eligible for amnesty include: cigarette tax, corporate net income tax, fuel use tax, employer withholding, inheritance and estate tax, personal income tax, sales and use tax and liquid fuels tax.

The 2017 Pennsylvania Tax Amnesty program is expected to provide an estimated $100 million to the general fund.

Previous Pennsylvania tax amnesty programs yielded $93 million in 1995-1996 and $254 million in 2010.

The Online Amnesty form and more information about the Pennsylvania Tax Amnesty Program can be found on the Department of Revenue’s website at www.revenue.pa.gov/taxamnesty.