Bill Text: PA HB882 | 2011-2012 | Regular Session | Introduced

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Bill Title: In capital stock and franchise tax, further defining "processing."

Spectrum: Moderate Partisan Bill (Republican 18-2)

Status: (Introduced - Dead) 2011-03-02 - Referred to FINANCE [HB882 Detail]

Download: Pennsylvania-2011-HB882-Introduced.html

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PRINTER'S NO. 938
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 882 Session of2011
INTRODUCED BY PYLE, AUMENT, COX, CUTLER, ELLIS, GABLER, GEIST, GROVE, HUTCHINSON, KORTZ, METCALFE, OBERLANDER, PICKETT, REESE, SAYLOR, STERN, STEVENSON, TALLMAN AND VULAKOVICH, MARCH 2, 2011
REFERRED TO COMMITTEE ON FINANCE, MARCH 2, 2011
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," in capital stock and franchise tax, further
defining "processing."
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definition of "processing" in section 601(a)
of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
Reform Code of 1971, amended June 22, 2001 (P.L.353, No.23), is
amended to read:
Section 601. Definitions and Reports.--(a) The following
words, terms and phrases when used in this Article VI shall have
the meaning ascribed to them in this section, except where the
context clearly indicates a different meaning:
* * *
"Processing." The following activities when engaged in as a
business enterprise:
(1) The filtering or heating of honey, the cooking or
freezing of fruits, vegetables, mushrooms, fish, seafood, meats
or poultry, when the person engaged in such business packages
such property in sealed containers for wholesale distribution.
(1.1) The processing of fruits or vegetables by cleaning,
cutting, coring, peeling or chopping and treating to preserve,
sterilize or purify and substantially extend the useful shelf
life of the fruits or vegetables, when the person engaged in
such activity packages such property in sealed containers for
wholesale distribution.
(2) The scouring, carbonizing, cording, combing, throwing,
twisting or winding of natural or synthetic fibers, or the
spinning, bleaching, dyeing, printing or finishing of yarns or
fabrics, when such activities are performed prior to sale to the
ultimate consumer.
(3) The electroplating, galvanizing, enameling, anodizing,
coloring, finishing, impregnating or heat treating of metals or
plastics for sale or in the process of manufacturing.
(3.1) The blanking, shearing, leveling, slitting or burning
of metals for sale to or use by a manufacturer or processor.
(4) The rolling, drawing or extruding of ferrous and
nonferrous metals.
(5) The fabrication for sale of ornamental or structural
metal or metal stairs, staircases, gratings, fire escapes or
railings (not including fabrication work done at the
construction site).
(6) The preparation of animal feed or poultry feed for sale.
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(7) The production, processing and bottling of nonalcoholic
beverages for wholesale distribution.
(8) The slaughtering and dressing of animals for meat to be
sold or to be used in preparing meat products for sale, and the
preparation of meat products, including lard, tallow, grease,
cooking and inedible oils for wholesale distribution.
(9) The operation of a saw mill or planing mill for the
production of lumber or lumber products for sale. The operation
of a saw mill or planing mill begins with the unloading by the
operator of the saw mill or planing mill of logs, timber,
pulpwood or other forms of wood material to be used in the saw
mill or planing mill.
(10) The milling for sale of flour or meal from grains.
(10.1) The aging, stripping, conditioning, crushing and
blending of tobacco leaves for use as cigar filler or as
components of smokeless tobacco products for sale to
manufacturers of tobacco products.
(11) The publishing of books, newspapers, magazines or other
periodicals, printing and broadcasting radio and television
programs by licensed commercial or educational stations.
(12) The processing of used lubricating oils.
(13) The blending, rectification or production by
distillation or otherwise of alcohol or alcoholic liquors,
except the distillation of alcohol from byproducts of winemaking
for the sole purpose of fortifying wine.
(14) The salvaging, recycling or reclaiming of used
materials to be recycled into a manufacturing process.
(15) The development or substantial modification of computer
programs or software for sale to unrelated persons for their
direct and independent use.
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(16) The cleaning and roasting and the blending, grinding or
packaging for sale of coffee from green coffee beans or the
production of coffee extract.
(17) The refining, blasting, exploring, mining and quarrying
for or otherwise extracting coal, limestone, sand, gravel or
slag from the earth or from waste or stock piles or from pits or
banks and the cleaning, crushing, grinding, pulverizing, sizing
or screening of coal, limestone, sand, gravel or slag, including
blast furnace slag.
(18) The preparation of dry or liquid fertilizer for sale.
(19) The production, processing and packaging of ice for
wholesale distribution.
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Section 2. This act shall take effect in 60 days.
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