Budget & Taxes (Income Tax)

in committee · Pennsylvania · Senate May 1, 2026

SB 1314: 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 imposition of tax.

SB 1314 amends Pennsylvania's personal income tax law to increase tax rates for taxable years beginning after December 31, 2025. The bill raises the tax rate for residents from 3.7% to 9.7% and for nonresidents earning income from Pennsylvania sources from 3.7% to 9.7%. It also clarifies that income earned by certain trusts is taxable to the grantor rather than the trust itself. These changes directly affect Pennsylvania residents, nonresidents with Pennsylvania income, and individuals who establish or manage trusts.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill increases personal income tax rates from 3.7% to 9.7%, directly raising the tax burden on residents and nonresidents.95% confidence

Sub-Topics Business Taxes Income Tax

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in committee · Pennsylvania · House Mar 24, 2026

HB 141: 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 imposition of tax.

This bill amends Pennsylvania's Tax Reform Code to increase personal income tax rates for taxable years beginning after December 31, 2025. It raises the tax rate for residents and nonresidents from 3.7% to 9.7% on all income, while maintaining a 3.7% rate for specific income categories. The legislation also clarifies how trust income is taxed by aligning Pennsylvania rules with federal Internal Revenue Code provisions regarding grantor trusts.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill increases personal income tax rates from 3.7% to 9.7%, directly raising taxes on residents and nonresidents, which opposes fiscal relief and increases tax burden.95% confidence

Sub-Topics Income Tax

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in committee · Pennsylvania · Senate Jan 30, 2026

SB 1153: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in corporate net income tax, further providing for imposition of tax; and abrogating a regulation.

SB 1153 modifies Pennsylvania's corporate net income tax rules to clarify when remote work performed by employees affects tax liability. It states that work by Pennsylvania-resident employees who work remotely in Pennsylvania less than 50% of their time (and whose primary work location is outside Pennsylvania) is no longer subject to Pennsylvania corporate tax. The bill replaces an existing regulation (61 Pa. Code § 153.23(b)) that conflicted with this change. The amendment applies to tax years beginning after December 31, 2023.

Topics ✗ Budget & TaxesOpposes Budget & TaxesReduces corporate tax liability for remote workers in PA <50% time, decreasing state tax revenue. Explicitly changes tax rules to exclude certain income.90% confidence

Sub-Topics Business Taxes Income Tax

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in committee · Pennsylvania · Senate Oct 3, 2025

SB 1031: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in corporate net income tax, repealing provisions relating to penalties and to repealer and effective date; establishing the Net Operating Loss Transfer Program; and imposing penalties.

SB 1031 amends Pennsylvania's corporate tax code by repealing outdated penalty provisions and establishing a new Net Operating Loss Transfer Program. This program allows corporations with net operating losses to transfer those losses to other corporations, reducing future tax liability for the recipient. The bill also introduces new penalties for failing to comply with the transfer program's requirements. It directly affects corporations operating under Pennsylvania's corporate net income tax system, particularly those with unused losses or those seeking to offset future tax obligations.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill establishes corporate tax loss transfer program, reducing tax liability for recipients and decreasing state revenue, weakening fiscal management.85% confidence

Sub-Topics Business Taxes Income Tax

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in committee · Pennsylvania · House Mar 3, 2025

HB 775: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, providing for phoenix employee and returnship tax credits; and imposing penalties.

HB 775 creates tax credits for Pennsylvania businesses hiring "phoenix employees" (workers who were out of the workforce for two years or received a 50%+ pay increase) in high-demand occupations. Companies can claim a credit equal to twice the state personal income tax rate on qualifying employees' earnings, applied against corporate, franchise, or personal income taxes. The bill limits annual credits to $150,000 in the first year, $300,000 in the second, and $450,000 thereafter, with $15 million allocated for the first year. Businesses must commit to retaining employees for three years and maintaining operations in Pennsylvania for five years to qualify. The credit directly affects employers in high-demand fields and workers reentering the workforce after extended gaps.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill creates corporate tax credits reducing state revenue, weakening fiscal management through tax cuts for businesses.90% confidence

Sub-Topics Income Tax

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in committee · Pennsylvania · House Mar 3, 2025

HB 760: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in corporate net income tax, further providing for imposition of tax.

HB 760 amends Pennsylvania's corporate net income tax rates under the 1971 Tax Reform Code, directly affecting corporations operating in the state. The bill reduces the annual corporate tax rate from 7.99% for 2025-2025 to 5.99% for 2026-2026, and further lowers it to 4% starting in 2027 and beyond. Key provisions include a phased reduction schedule with specific rates for each taxable year period, replacing prior rate structures. The changes take immediate effect upon enactment, altering the tax burden for corporations filing under Pennsylvania's corporate net income tax system.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill reduces corporate tax rates from 7.99% to 4%, weakening state tax revenue and fiscal management per the Tax Reform Code amendment.95% confidence

Sub-Topics Business Taxes Income Tax

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in committee · Pennsylvania · House Apr 15, 2025

HB 1220: An Act amending the act of June 27, 2006 (1st Sp.Sess., P.L.1873, No.1), known as the Taxpayer Relief Act, in taxation by school districts, repealing provisions relating to local tax study commission and to adoption of further referendum.

HB 1220 repeals two sections of Pennsylvania's Taxpayer Relief Act that required school districts to form a local tax study commission and hold public referendums before levying certain taxes. Specifically, it removes the requirement for school districts to create a commission to study tax policies and make nonbinding recommendations (Section 331) and eliminates the need for voter approval via referendum before imposing earned income or personal income taxes (Section 332). This bill directly affects Pennsylvania school districts by simplifying their tax levy process, as they will no longer need to conduct the study or seek referendum approval for these specific tax types. The repeal streamlines administrative steps without altering the tax authority itself.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRepeals referendum requirements for school district taxes, reducing voter accountability in fiscal decisions.95% confidence ✓ EducationSupports EducationRemoves barriers requiring school districts to hold referendums on tax levies, enabling more flexible funding without voter approval for education-related taxes.85% confidence

Sub-Topics Income Tax

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in committee · Pennsylvania · House May 6, 2025

HB 1414: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in corporate net income tax, further providing for imposition of tax.

HB 1414 amends Pennsylvania's corporate income tax rates under the 1971 Tax Reform Code. It lowers the annual corporate tax rate for taxable years starting in 2026 (from 7.49% to 6.99%), 2027 (from 6.99% to 5.99%), and 2028 onward (from 6.49% to 4.99%). This directly affects corporations operating in Pennsylvania that pay state corporate income tax. The bill makes these rate changes effective immediately upon enactment.

Topics ✗ Budget & TaxesOpposes Budget & TaxesLowers corporate tax rates (7.49%→4.99%), reducing state revenue and weakening tax base per bill's explicit rate reductions.95% confidence

Sub-Topics Business Taxes Income Tax

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