In order to generate additional revenue, the Pennsylvania legislature has established a tax amnesty program to encourage taxpayers to voluntarily file past due returns and pay the taxes due on the returns.  This is a great opportunity for taxpayers with outstanding tax obligations because Pennsylvania has agreed to waive the outstanding penalties and half of the interest due.  The Amnesty Program begins on April 26, 2010 and ends on June 18, 2010 and applies to taxpayers that did not file a tax return or pay taxes that were due as of June 30, 2009.

In order to participate in this program, a taxpayer must do all of the following items during the Amnesty period:

  • File an online Amnesty return with Pennsylvania
  • Make payments for all taxes and one half of the interest due
  • File completed tax returns for all required periods for which the taxpayer previously has not filed a return
  • File amended returns for all required periods for which the taxpayer underreported their tax liability

A taxpayer with unknown liabilities reported and paid during the Amnesty period who complies with all other requirements is not liable for any taxes of the same type prior to July 1, 2004.

In an attempt to maintain taxpayer compliance, Pennsylvania will re-impose all penalty and interest abated during the Amnesty period if the taxpayer becomes delinquent on their taxes within two years.

All taxpayers who voluntarily participate in the Amnesty program will be prohibited from participating in future Amnesty programs.

If you have any questions or would like more information, please contact:

Jennifer Pacilli, CPA

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