An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in personal income tax, further providing for classes of income.

This bill amends Pennsylvania's Tax Reform Code to align the state's personal income tax rules with a specific section of the federal Internal Revenue Code regarding how certain income is classified. By adding a new subsection to the state tax law, it ensures that the definitions for these income classes match federal standards for tax years starting after December 31, 2024. The change directly affects Pennsylvania taxpayers and the Department of Revenue, which will use the updated definitions to calculate and collect taxes.