The bank and trust company shares tax is imposed at a rate of 1.25 percent on every bank and trust company conducting business in Pennsylvania that has capital stock.
Domestic title insurance companies are subject to the title insurance company shares tax at a rate of 1.25 percent.
Bank and trust company shares tax and title insurance company shares tax are imposed annually on the book value of shares, calculated by a six-year moving average using the total number of shares divided into the book values of capital stock paid in, surplus and undivided profits. A deduction is permitted for exempt federal obligations as a proportion of all assets.
Credit unions are not subject to these taxes.
A report and payment of 100 percent of the tax is due March 15 each year for the value of shares on the preceding January 1.
For detailed and historic Pennsylvania shares tax information, please review the Tax Compendium.
Taxpayers subject to one or more of the taxes explained here may also be subject to the corporate loans tax, surplus lines tax, and/or the gross premiums tax for premiums paid to unauthorized foreign insurance companies.