HB 1503 — An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in sales and use tax, further providing for definitions.

PRINTER'S NO.    1758

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 1503
                                                 Session of
                                                   2025

     INTRODUCED BY PROKOPIAK, DAVANZO, FRIEL, HILL-EVANS, JAMES,
        SANCHEZ, VENKAT, GIRAL, KHAN, D. WILLIAMS, MULLINS, FRITZ AND
        CEPEDA-FREYTIZ, MAY 27, 2025

     REFERRED TO COMMITTEE ON FINANCE, MAY 28, 2025


                                      AN ACT
 1   Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
 2      act relating to tax reform and State taxation by codifying
 3      and enumerating certain subjects of taxation and imposing
 4      taxes thereon; providing procedures for the payment,
 5      collection, administration and enforcement thereof; providing
 6      for tax credits in certain cases; conferring powers and
 7      imposing duties upon the Department of Revenue, certain
 8      employers, fiduciaries, individuals, persons, corporations
 9      and other entities; prescribing crimes, offenses and
10      penalties," in sales and use tax, further providing for
11      definitions.
12      The General Assembly of the Commonwealth of Pennsylvania
13   hereby enacts as follows:
14      Section 1.     Section 201(d)(17) of the act of March 4, 1971
15   (P.L.6, No.2), known as the Tax Reform Code of 1971, is amended
16   to read:
17      Section 201.     Definitions.--The following words, terms and
18   phrases when used in this Article II shall have the meaning
19   ascribed to them in this section, except where the context
20   clearly indicates a different meaning:
21      * * *
22      (d)     "Processing."   The performance of the following
1   activities when engaged in as a business enterprise:
2      * * *
3      (17)    The producing of Internet access, as defined in section
4   1105(5) of the Internet Tax Freedom Act (47 U.S.C. § 151 note)
5   as of December 23, 2003, or mobile telecommunications services.
6      * * *
7      Section 2.   This act shall take effect in 60 days.




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