News and Insights

Pennsylvania Department of Revenue Provides Guidance on 2017 Tax Amnesty

Tax Development Sep 14, 2016

The Pennsylvania Department of Revenue (“Department”) issued guidance on Pennsylvania’s 2017 Tax Amnesty Program (“Program”). The amnesty period begins April 21, 2017 and ends June 19, 2017. All taxes owed to the Commonwealth and administered by the Department qualify for amnesty, and the eligible periods are those where a delinquency exists as of December 31, 2015. Eligible taxes include, but are not limited to, sales and use, hotel occupancy, liquid fuel, and gross receipts.

To participate in the Program, eligible taxpayers must do the following:

  • File an online Amnesty Return;
  • Pay all taxes and one-half of the interest due to the Commonwealth in accordance with the filed Amnesty Return;
  • File complete tax returns for all previously unreported required tax periods;
  • File complete amended returns for all required periods where tax liability was underreported; and
  • File all returns for tax periods not eligible for the Amnesty Program.

The following taxpayers do not qualify for the Program:

  • Taxpayers currently under criminal investigation for an alleged violation of any tax law;
  • Taxpayers, who prior to the amnesty period, have been named as a defendant in a criminal complaint alleging a violation of any law imposing a tax administered by the Department;
  • Taxpayers who are defendants in a pending criminal action for an alleged violation of any law imposing an eligible tax;
  • Taxpayers who currently have a signed voluntary disclosure agreement covering periods eligible for the 2017 Amnesty Program; or
  • Taxpayers who participated in the 2010 Pennsylvania Tax Amnesty Program.

Taxpayers under administrative or judicial appeal may participate in the Program, but they must withdraw any appeals relating to amnesty periods. Additionally, taxpayers who participate in the Program forfeit their rights to protest or pursue administrative or judicial proceedings regarding tax amnesty returns or any refunds paid under the Program.