Pennsylvania HB 1146: An Act amending Titles 53 (Municipalities Generally) and 75 (Vehicles) of the Pennsylvania Consolidated Statutes, in taxation for public transportation, further providing for local financial support; and, in fees, further providing for fee for local use.

Bill Text

PRINTER'S NO. 1267
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1146
Session of
2025
INTRODUCED BY HOHENSTEIN, WAXMAN, GIRAL, FIEDLER, PIELLI, KHAN,
SANCHEZ, SOLOMON, HILL-EVANS, KRAJEWSKI, DELLOSO, CIRESI,
OTTEN, O'MARA, GREEN, DOUGHERTY, BENHAM, RIVERA, KINKEAD AND
MAYES, APRIL 4, 2025
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, APRIL 4, 2025
AN ACT
Amending Titles 53 (Municipalities Generally) and 75 (Vehicles)
of the Pennsylvania Consolidated Statutes, in taxation for
public transportation, further providing for local financial
support; and, in fees, further providing for fee for local
use.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 8602 of Title 53 of the Pennsylvania
Consolidated Statutes is amended to read:
§ 8602. Local financial support.
(a) Imposition.--Notwithstanding any other provision of law,
a county [of the second class] may, at the county's discretion,
by ordinance or resolution, obtain financial support for transit
and transportation systems and transportation infrastructure by
imposing one or more of the taxes under subsection (b). Money
obtained from the imposition shall be deposited into a
restricted account of the county.
(b) Taxes.--
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(1) A county [of the second class] may, by ordinance,
impose any of the following taxes:
(i) A tax on the sale at retail of liquor and malt
and brewed beverages within the county. The ordinance
shall be modeled on the act of June 10, 1971 (P.L.153,
No.7), known as the First Class School District Liquor
Sales Tax Act of 1971, and the rate of tax authorized
under this subparagraph may not exceed the rate
established under that act.
(ii) An excise tax on each renting of a rental
vehicle in the county. The rate of tax authorized under
this subparagraph may not exceed the rate established
under section 2301(e) of the act of March 4, 1971 (P.L.6,
No.2), known as the Tax Reform Code of 1971. As used in
this subparagraph, the term "rental vehicle" has the
meaning given to it in section 1601-A of the Tax Reform
Code of 1971.
(iii) A tax upon a transfer of real property or an
interest in real property within the limits of the
county, regardless of where the instruments making the
transfers are made, executed or delivered or where the
actual settlements on the transfer take place, to the
extent that the transactions are subject to the tax
imposed by Article XI-C of the Tax Reform Code of 1971. A
tax imposed under this subparagraph shall not exceed 0.5%
of rate limitations provided by sections 307, 311 and 320
of the act of December 31, 1965 (P.L.1257, No.511), known
as The Local Tax Enabling Act.
(iv) In addition to the tax imposed under Article
III of the Tax Reform Code of 1971, a surtax not to
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exceed 0.2% of the tax imposed on the taxable income of
resident and nonresident individuals as provided for
under Article III of the Tax Reform Code of 1971.
(v) In addition to the tax imposed under Article II
of the Tax Reform Code of 1971, a surtax equal to 0.25%
imposed on the purchase price of tangible personal
property and services subject to taxation under Article
II of the Tax Reform Code of 1971.
(vi) An annual personal property tax on motor
vehicles, to be paid upon initial registration and
renewal, not to exceed 0.5% on the fair market value of
passenger vehicles, trucks with a registered weight of
11,000 pounds and under, motorcycles and recreational
motor home vehicles registered within the county.
(vii) A local services tax in accordance with
Chapter 3 of The Local Tax Enabling Act, at a rate not to
exceed $3 per week, or $156 per year. A county levying
the local services tax shall, by ordinance, exempt any
person from the local services tax whose total earned
income and net profits from all sources within the county
are less than 200% of the Federal poverty guidelines, as
published in the Federal Register for the calendar year
in which the local services tax is levied.
(2) (Reserved).
(b.1) Computation of sales and use tax.--Within 30 days of
the notification of a county of the adoption of a tax under
subsection (b)(1)(v), the department shall establish a combined
schedule for the computation of the State sales and use tax and
the State sales and use surtax as established under subsection
(b)(1)(v) and shall:
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(1) Collect the surtax and remit the surtax proceeds
quarterly to the appropriate taxing authority.
(2) Transmit the schedule providing for the combined
computation of the State sales and use tax and the State
sales and use surtax to the Legislative Reference Bureau for
publication in the next available issue of the Pennsylvania
Bulletin.
(b.2) Computation of personal property tax on motor
vehicles.--For purposes of subsection (b)(1)(vi)