Please ensure Javascript is enabled for purposes of website accessibility Waxman bill to provide temporary tax relief for new charities passes House

Waxman bill to provide temporary tax relief for new charities passes House

State Rep. Ben Waxman, D-Phila., announced that his legislation, H.B. 2305, to provide new charities with temporary tax relief has passed the House.

The bill supports new charities by letting the Revenue Department issue a conditional two-year exemption from Sales and Use Tax. Established charities already are largely exempt from SUT. The bill gives new organizations time to get off the ground and fulfill their charitable mission.

“I am extremely thrilled that this legislation has been voted out of the House. This bill will provide much-needed tax relief to many charities in our commonwealth so that they can better fulfill their goals. Providing charities with the allotted two years to get on their feet when they are newly established will benefit them and the communities that they serve.”

If a group is deemed not to meet the definition of a charity within two years, the department may assess it for the back taxes that were exempted.

The bill now moves to the Senate for consideration.

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