1. Department of Revenue Tax and Water Revenue Bureaus Department of Revenue Tax and Water Revenue Bureaus Keith J. Richardson Commissioner, Department of Revenue City of Philadelphia

2. Department of Revenue Tax and Water Revenue Bureaus Philadelphia Tax Amnesty Program Bill Number 090686 was introduced on Thursday October 1, 2009 Prior to bill the city controller and the freshman council members were big on having a Tax Amnesty Program Preparation for Tax Amnesty began in May 2009

3. Department of Revenue Tax and Water Revenue Bureaus Philadelphia Tax Amnesty Program The bill was passed on December 17, 2009 to provide a temporary Tax Amnesty Program and signed into law by Mayor Nutter on January 10, 2010 This allowed for a Tax Amnesty Program on 14 taxes in the City Sales tax and Hotel tax were administered during the state’s amnesty program

4. Department of Revenue Tax and Water Revenue Bureaus Philadelphia Tax Amnesty Program The offer during Amnesty was: 100% of penalties, attorney fees and fines waived 50% of interest waived Eligible Taxes: Amusement TaxBusiness Privilege Hotel Room Rental TaxLiquor Sales Tax Net Profit Tax Outdoor Advertising Tax Parking Tax School Income Tax Real Estate TaxVehicle Rental Tax Real Estate Transfer TaxWage & Earnings Tax Use and Occupancy Tax

5. Department of Revenue Tax and Water Revenue Bureaus Philadelphia Tax Amnesty Program Tax Amnesty Program was for taxes originally owed and payable between February 1986 and June 30, 2009 Eligibility for the program “except” All taxpayers “except” - taxpayers subject to criminal investigation - prior tax amnesty participants/corporate officers

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10. Department of Revenue Tax and Water Revenue Bureaus How Will Tax Amnesty Work? Individuals and Businesses that want to take advantage of Tax Amnesty will need to: Complete an application Register with the City (if needed) File tax returns (if needed) Disclose tax liabilities Pay eligible base taxes and 50% of interest by June, 25, 2010* Stay compliant for next 3 years

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17. Department of Revenue Tax and Water Revenue Bureaus Lessons Learned Accounting for entire inventory Stats in legal system Clear back end data transfers Clear account reconciliations Imaging Recording of phone conversations

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