The state Department of Revenue recently launched an online application on myPATH, the online tax system, designed to streamline the process for non-profit organizations to apply for or renew a Pennsylvania sales tax exemption.
Institutions of purely public charity are tax exempt from the state’s 6 percent sales tax on purchases made on behalf of the institution’s charitable purpose.
Previously, nonprofit organizations were required to submit a paper application form.
The high volume of applications received as well as the detailed supporting documentation required to verify each organization’s nonprofit status created lengthy turnaround times. Often there were incomplete applications, and the process was delay while the department requested additional information.
Earlier this year, Gov. Josh Shapiro signed an executive order instructing state agencies to conduct a comprehensive review of their application processes to improve licensing, permitting, and certification.
“We are proud to play a part in carrying out Gov. Shapiro’s vision of offering services that are more efficient and effective for the people we serve,” Revenue Secretary Pat Browne said. “Providing a new online application for sales tax exemptions gives non-profit organizations a streamlined process to secure their exemption certificates as quickly as possible and renew their exemptions when they need to.”
myPATH is where Pennsylvania taxpayers can manage state tax obligations.