An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in inheritance tax, further providing for transfers not subject to tax.

HB 256 exempts transfers of funds from qualified tuition programs (like 529 college savings plans) from Pennsylvania's inheritance tax when moved to the designated beneficiary or their parent/guardian if the beneficiary is under 18. It uses federal definitions from the Internal Revenue Code (Section 529) to define "qualified tuition program" and "designated beneficiary." The change applies to estates of people who died after November 6, 2023. This policy directly affects families using these education savings programs by removing an inheritance tax burden on transferred funds.