On March 21, 2020, the Pennsylvania Department of Revenue announced that the deadline for taxpayers to file their 2019 Personal Income Tax Returns is extended to July 15, 2020. This means taxpayers will have an additional 90 days to file from the original deadline of April 15. The Internal Revenue Service also extended the
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Department of Revenue Issues Pennsylvania Sales and Use Tax Letter Ruling No. SUT-20-001 – Regarding Taxation of Membership Fee
By Paul Morcom on
Posted in Sales and Use Tax, Uncategorized
On January 31, 2020, the Pennsylvania Department of Revenue (“Revenue”) issued Letter Ruling No. SUT-20-001, which concluded that the taxability of a membership fee in a professional association depends upon what a member receives in exchange for the membership. If the member does not receive any taxable tangible personal property or taxable services in exchange…
Pennsylvania Sets Interest Rates on Underpayments and Overpayments for 2020
By Paul Morcom on
Posted in Uncategorized
Effective January 1, 2020 to December 31, 2020, the rate of interest on underpayments of Pennsylvania taxes will be 5% per annum. Additionally, the rate of interest on overpayments of tax will be 3% per annum (except for personal income tax overpayments, which accrue interest at the same rate as for underpayments). See Interest Rate…
Pennsylvania Department of Revenue Issues Corporate Tax Bulletin 2019-4 on Nexus for Corporate Net Income Tax Purposes
By Randy Varner on
Posted in Corporate Taxes, Uncategorized
On September 30, 2019, the Pennsylvania Department of Revenue issued Corporation Tax Bulletin 2019-4 giving guidance on nexus for Corporate Net Income Tax purposes (“Bulletin”).
The Bulletin recites constitutional underpinnings of nexus, noting that the federal underpinnings of a state’s jurisdiction to tax is based on both the Due Process and the Commerce Clauses of…
SAVE THE DATE! Annual McNees SALT Seminar Scheduled for November 1, 2019
By Randy Varner on
Posted in Uncategorized
Our annual SALT seminar is attended by over 100 people interested in learning about the latest development in Pennsylvania state and local taxes. Once again, the 2019 McNees SALT Seminar will be held at the Hollywood Casino in Grantville, Pennsylvania. We are now in the process of planning a seminar that will provide valuable content. …
PA FAVORABLY RESTRUCTURES SALES TAX RULES FOR BREWERIES
By Sharon Paxton on
Posted in Sales and Use Tax, Uncategorized
The Pennsylvania General Assembly recently passed an amendment to the state’s sales tax law that will be of interest to breweries operating taprooms in Pennsylvania. Effective October 1, 2019, breweries must begin collecting sales tax on each individual retail sale to patrons, but on a reduced tax base intended to approximate the amount of tax…
HOT! Two Upcoming Webinars from the McNees State and Local Tax Group
By Randy Varner on
Posted in Uncategorized
The McNees State and Local Tax Group will be presenting two upcoming webinars. The first, on Thursday, January 31, 2019 from 12:00 p.m. until 12:45 p.m., will be presented by Randy L. Varner and Paul R. Morcom and will cover reverse audits and how they can help your bottom line. More information, including instructions to…
Taxes in the Capitol – Week Ending June 22, 2018
By Kathy Pape on
Posted in Legislation, Uncategorized
SB 1056, amends the Tax Reform Code to align state law with the federal law’s 100% bonus depreciation. Signed in the House and the Senate on June 22, 2018.
SB 735, would amend the Real Estate Tax Sale Law to establish an optional County Demolition and Rehabilitation Fund in certain counties, funded by…
United States Supreme Court Strikes Down Quill: Physical Presence Standard Gone
By Randy Varner, Sharon Paxton & Paul Morcom on
Posted in Sales and Use Tax, Uncategorized
In a widely anticipated decision in the state tax world, the United States Supreme Court, in South Dakota v. Wayfair (June 21, 2018), has struck down the sales tax physical presence standard set forth in Quill Corp. v. North Dakota, 504 U.S. 298 (1992), and National Bellas Hess, Inc. v. Department of Rev. of Ill.…
In the Spirit of the Holiday Season, the Pennsylvania Department of Revenue Gifts NOL Clarity to Corporate Taxpayers
By Paul Morcom on
Posted in Uncategorized
On November 16, 2017, the Pennsylvania Department of Revenue (“Department”) issued Corporation Tax Bulletin 2017-01 in order to clarify the Department’s stance on the net operating loss deduction. The Department will revise its forms and procedures to implement the Pennsylvania Supreme Court’s decision in Nextel Communications of the Mid-Atlantic, Inc. v. Commonwealth of Pennsylvania,…