The bill amends the Tax Reform Code of 1971 to create a tax amnesty program for the fiscal year 2025-2026, designated as ARTICLE XXIX-J. This program allows taxpayers to resolve eligible tax liabilities without facing penalties, interest, or fees if they file a tax amnesty return and make full payment within a 90-day amnesty period, concluding no later than June 30, 2026. It targets individuals who have fallen behind on their tax obligations from January 1, 2020, to December 31, 2024, and includes specific definitions for terms such as "eligible tax," "taxpayer," and "unknown liability." The Department of Revenue will oversee the program, ensuring guidelines are developed and the initiative is publicized to encourage participation. Revenue generated will be allocated to the General Fund, Motor License Fund, and Liquid Fuels Tax Fund, with a requirement for funds to be deposited by the end of the amnesty period.

Additionally, the bill introduces new provisions regarding the judicial appeal process for tax liabilities during the amnesty period, stipulating that any appeals must be filed by the last day of the amnesty. It clarifies that penalties related to this section are in addition to any existing penalties under the law. The bill also emphasizes that it does not exempt individuals or entities from their obligations to file returns or pay taxes, penalties, or interest as mandated by current laws, and it does not affect ongoing legal actions or investigations related to tax violations. To facilitate its implementation, the bill suspends any conflicting acts and is set to take effect immediately.

Statutes/Laws affected:
Printer's No. 2084 (Jul 07, 2025): P.L.6, No.2