Understanding Missed Deadlines on PA Personal Income Tax Notices

Guidance Provided by the Pennsylvania Department of Revenue

PSTAP recently requested clarification from the Pennsylvania Department of Revenue (DOR) regarding what happens when statutory response or appeal deadlines are missed—an issue practitioners encounter frequently when clients provide notices late or when new clients arrive after a deadline has already passed. Below is the Department’s detailed explanation of how each notice type progresses once deadlines expire, along with the options that remain available to taxpayers.

Request for Information (RFI) Notice

RFI notices are issued when DOR needs additional documentation to verify information reported on a return.

•    Response Window: 90 days
•    How to Respond: Use the Respond to a Letter feature on the myPATH homepage.
•    If the Deadline Is Missed: Once the 90 day period expires, DOR will adjust the return based on available information. The account then moves to the next stage (billing, offset, etc.). At this point, the taxpayer’s ability to dispute the adjustment shifts to the appeal stage once an assessment is issued.

Notice of Waived Penalty

This notice is informational and confirms that a penalty has been automatically abated.

•    No action is required unless the taxpayer disagrees with the notice.
•    If the taxpayer disputes the notice: They may respond through myPATH.
•    If the penalty stemmed from a systemic issue: DOR will correct the underlying issue and reverse the waiver so the taxpayer retains eligibility for a future one time abatement.

Billing Notice

Billing Notices are issued when a processed return results in a balance due—whether from tax, penalty, interest, or an adjustment.
•    Response Window: 30 days
•    If the Deadline Is Missed: After 30 days, the account moves to assessment.
•    Appeal Window After Assessment: 90 days This appeal period becomes the taxpayer’s next opportunity to dispute the balance.

Notice of Assessment

A Notice of Assessment is issued when DOR formally assesses tax, penalty, or a reduction in overpayment.

•    Appeal Window: 90 days from the notice date
•    How to Appeal: File a petition with the Board of Appeals at revenue.pa.gov/TaxAppeals. Taxpayers may include an amended return and supporting documentation with their appeal and may choose to waive a hearing.
•    If the Appeal Deadline Is Missed: Collections will begin. At this stage, the taxpayer must pay the balance first and then file a refund petition with the Board of Appeals.

Additional Department Update

DOR shared that it is developing a new webpage to accompany Understanding Your Notice. This resource will outline the full pathway for dispute resolution and is intended to help taxpayers and practitioners better navigate notice responses and appeals.