PA Tax & Accounting Services
Kurt Simmons CPA provides comprehensive tax and financial services to individuals and businesses throughout Pennsylvania (PA). With its healthcare, education, and financial services corridor, we understand the unique financial landscape that comes with doing business in Pennsylvania.
Under the CPA Mobility Act, our CPA — licensed in Maryland, Delaware, and Florida — is authorized to provide the full range of attestation, tax, and advisory services to Pennsylvania clients without the need for an additional state license. This means Pennsylvania individuals and businesses receive the same comprehensive service as our home-state clients: financial statement audits, tax strategy, IRS representation, virtual CFO services, and every other service we offer — delivered through our technology-forward, virtual-first practice model.
CPA Services Available in Pennsylvania (PA)
PA Individual Tax Preparation
Comprehensive federal and Pennsylvania state tax return preparation, including complex returns with investments, rental properties, and self-employment income.
Learn More →PA Business Tax Services
Tax preparation and planning for Pennsylvania-based businesses including S-Corps, C-Corps, partnerships, LLCs, and sole proprietorships.
Learn More →PA Cryptocurrency Tax
Specialized crypto tax services for Pennsylvania investors and traders. DeFi, NFTs, staking rewards, and exchange reporting handled with expertise.
Learn More →PA Trader Tax Services
Mark-to-market elections, wash sale tracking, and tax optimization strategies for active traders in Pennsylvania.
Learn More →PA IRS Resolution
Professional representation before the IRS for Pennsylvania taxpayers facing audits, collections, liens, levies, or offers in compromise.
Learn More →PA 83(b) Elections
Equity compensation planning and 83(b) election filing for Pennsylvania startup employees and founders receiving restricted stock.
Learn More →PA Financial Statement Audits
Full-scope GAAS-compliant financial statement audits for businesses, nonprofits, and organizations requiring independent assurance.
Learn More →PA Review Engagements
Limited assurance engagements providing meaningful confidence in financial statements for lender requirements and stakeholder reporting.
Learn More →PA Compilations
Professionally prepared financial statements from management-provided data for internal reporting, small business needs, and bank presentations.
Learn More →PA Agreed-Upon Procedures
Targeted, customized engagements designed to address specific areas of concern with flexible scope tailored to stakeholder needs.
Learn More →PA Employee Benefit Plan Audits
DOL-compliant audits for 401(k), pension, and employee benefit plans meeting ERISA filing requirements and fiduciary obligations.
Learn More →PA Tax Strategy & Advisory
Proactive, year-round tax planning that identifies savings opportunities. Entity structure optimization, multi-state planning, and strategic initiatives.
Learn More →PA Cost Segregation Studies
Engineering-based analysis to accelerate depreciation deductions on commercial and residential rental properties, maximizing cash flow.
Learn More →PA Virtual CFO Services
Fractional CFO capabilities including financial modeling, cash flow management, KPI dashboards, and strategic financial leadership.
Learn More →PA Business Consulting
Operational assessments, process improvement, internal control design, and strategic planning to drive efficiency and profitability.
Learn More →PA Estate & Succession Planning
Comprehensive estate planning, business succession strategies, and wealth transfer optimization for business owners and high-net-worth individuals.
Learn More →PA Capital Markets Advisory
Securities compliance, FINRA regulatory guidance, and capital markets advisory for businesses navigating public offerings, private placements, and broker-dealer requirements.
Learn More →Pennsylvania Audit Services in Detail
Pennsylvania businesses, nonprofits, and benefit plan sponsors typically need an independent audit when state law, federal rules, lenders, grantmakers, or boards require external assurance. We perform GAAS-compliant attest engagements scoped to the specific assurance need — most commonly:
Pennsylvania Nonprofit Audits
Under Pennsylvania's Solicitation of Funds for Charitable Purposes Act, charities registered with the PA Department of State Bureau of Corporations and Charitable Organizations are generally required to submit audited financial statements when annual gross contributions equal or exceed $750,000, and reviewed financial statements when gross contributions are between $250,000 and $750,000. Audited statements are also routinely expected by the William Penn Foundation, the Pew Charitable Trusts, the Heinz Endowments, the Richard King Mellon Foundation, the United Way of Greater Philadelphia, and the United Way of Southwestern Pennsylvania.
Pennsylvania 401(k) & Employee Benefit Plan Audits
Pennsylvania plan sponsors filing Form 5500 generally require an ERISA-compliant audit when the plan has 100 or more participants with account balances at the start of the plan year — the participant-counting rule effective post-SECURE 2.0. We perform full-scope and §103(a)(3)(C) limited-scope benefit plan audits for 401(k), 403(b), and defined-benefit plans across Pennsylvania, including plans sponsored by UPMC and the Pittsburgh healthcare network, Penn Medicine and the Philadelphia healthcare and biotech sector, Vanguard and Malvern-area asset managers, Marcellus Shale natural gas operators, and Carnegie Mellon/Penn State/Pitt research employers.
Pennsylvania Single Audits (Uniform Guidance)
Pennsylvania nonprofits, municipalities, school districts, and pass-through subrecipients that expend $1,000,000 or more in federal awards in a fiscal year (the OMB threshold for fiscal years beginning on or after October 1, 2024) are subject to the Single Audit requirements of 2 CFR Part 200. We perform Uniform Guidance Single Audits, including major-program testing, internal control work, and preparation of the Schedule of Expenditures of Federal Awards (SEFA).
Pennsylvania Lender, Bonding & Investor Audits
Pennsylvania banks, surety companies (Pennsylvania is a major surety market), and Philadelphia/Pittsburgh-area private equity, venture, and growth investors frequently require audited financial statements as a condition of credit facilities, surety capacity, or capital raises. We deliver audited financials on the timeline lenders, bonding agents, and institutional investors need.
Pennsylvania Reviews & Compilations
Where a full audit is not required, we deliver review engagements (limited assurance) and compilations (no assurance) — both routinely accepted by Pennsylvania lenders for smaller credit facilities, by acquirers in PA M&A diligence, and by stakeholders requiring CPA-prepared financial statements.
Pennsylvania (PA) Tax & Business Landscape
Key Pennsylvania Tax Numbers. Personal income tax: 3.07% flat — one of the lowest in the U.S. Local Earned Income Tax (EIT): ~1% to 3% additional, varies by municipality. Philadelphia city wage tax: approximately 3.75% for residents (any work location) and approximately 3.44% for nonresidents working in Philadelphia (rates adjust annually). Corporate Net Income Tax: 8.49% in 2024, declining annually under historic 2022 reform to 4.99% by 2031. Sales and use tax: 6% state, plus 1% Allegheny County, plus 2% Philadelphia (combined 8% in Phila). Estate tax: none (repealed). Inheritance tax: 0% spouse / children under 21, 4.5% lineal descendants and ancestors, 12% siblings, 15% all other heirs (charitable bequests exempt). Pass-through entity (PTE) elective tax: none — Pennsylvania has not enacted a SALT-cap PTE workaround.
Filing Mechanics. Individuals (residents and nonresidents) file Form PA-40. C-corporations file Form RCT-101. Partnerships file PA-65; S-corps file PA-20S. Local Earned Income Tax returns are filed with the local tax collector (Berkheimer, Keystone, Capital, etc., depending on jurisdiction) — typically Form 30, F-1, or municipality-specific. Philadelphia BIRT (Business Income and Receipts Tax) and NPT (Net Profits Tax) returns are filed with the Philadelphia Department of Revenue. Returns are administered by the PA Department of Revenue.
Pennsylvania's Unique Income-Class System. Pennsylvania uses 8 separate classes of income (compensation, interest, dividends, net profits from business, net gains from sale of property, rents/royalties/patents/copyrights, gambling winnings, estates and trusts) and generally does not allow losses in one class to offset gains in another. PA also does not allow capital loss carryovers from prior years and does not allow most federal itemized deductions. Tax planning for active traders and investors is materially different from federal treatment.
Pennsylvania Economy & Who We Serve. Pennsylvania's economy spans healthcare and biotech (UPMC in Pittsburgh, Penn Medicine and Children's Hospital of Philadelphia), higher education (Penn, Carnegie Mellon, Penn State, Pitt, Temple, Drexel), financial services and asset management (Vanguard in Malvern, Wilmington Trust regional), manufacturing, energy (Marcellus Shale natural gas), and agriculture. Our typical PA clients include healthcare and biotech professionals, energy and shale-services companies, Philadelphia-area asset managers, federal contractors near Pittsburgh, real estate investors, and Pennsylvania residents commuting to NJ, DE, or MD.
CPA Mobility in Pennsylvania. Pennsylvania has adopted CPA mobility provisions under the Uniform Accountancy Act, allowing CPAs in active good standing in another U.S. jurisdiction to provide tax, advisory, and (subject to applicable firm-level requirements) attest services to Pennsylvania clients without obtaining a separate Pennsylvania individual license. Kurt Simmons holds active CPA licenses in Maryland, Delaware, and Florida, and we confirm all applicable Pennsylvania State Board of Accountancy mobility and firm registration requirements before commencing any engagement.
Cities and Communities We Serve. Our virtual-first practice serves clients across all of Pennsylvania, including Philadelphia (largest city; healthcare, education, financial services), Pittsburgh (UPMC, technology, manufacturing), Allentown (Lehigh Valley), Erie, Reading, Scranton, Bethlehem, Lancaster, Harrisburg (state capital), York, Wilkes-Barre, State College (Penn State), Malvern (Vanguard), the Philadelphia Main Line, the Lehigh Valley, the Poconos, and every Pennsylvania county.
Why Pennsylvania Clients Choose Us
- GAAS-compliant audit, review, and compilation experience for nonprofits, benefit plans, and privately held businesses
- Deep expertise in PA-specific issues: 8-income-class tax accounting, no-PTE planning workarounds, local EIT compliance with multiple tax collectors, Philadelphia BIRT and NPT, PA inheritance tax planning, and Marcellus Shale royalty taxation
- Capital markets background — Kurt Simmons has passed the Series 65 examination (Passed; not currently held as an active license) in addition to holding the CPA
- Specialized practices in cryptocurrency taxation, active trader tax (handling PA's unique no-carryforward capital loss rules), and 83(b) elections for PA biotech/tech employees
- Technology-forward, virtual-first delivery — secure client portal, e-signature, and video consultations
- Transparent, fixed-fee engagements where possible — no surprise hourly invoices
Pennsylvania CPA — Frequently Asked Questions
Do I need a Pennsylvania-licensed CPA, or can an out-of-state CPA handle my PA tax and audit work?
Pennsylvania has adopted CPA mobility provisions under the Uniform Accountancy Act. A CPA in active good standing in another U.S. jurisdiction is generally authorized to provide tax, advisory, and attest services to Pennsylvania clients without holding a separate Pennsylvania individual license. Kurt Simmons holds active CPA licenses in Maryland, Delaware, and Florida, and we confirm any applicable firm-level Pennsylvania State Board of Accountancy registration before commencing attest engagements.
Pennsylvania has a 3.07% flat tax — but why is my actual tax burden higher?
Pennsylvania has a flat 3.07% state personal income tax — among the lowest in the U.S. — but most PA municipalities also impose a local Earned Income Tax (EIT) typically 1% to 3% on wages and net profits. Philadelphia residents pay an additional ~3.75% city wage tax (slightly less for nonresidents working in Philly), making Philadelphia's combined effective top rate over 7% on wages. Form PA-40 is due April 15.
Does Pennsylvania have a SALT-cap workaround for partnerships and S-corps?
No. Pennsylvania is one of the few states without an elective pass-through entity tax. PA partnerships and S-corp owners cannot use the SALT-cap workaround that exists in most other states. Multi-state pass-through owners with PA-source income should plan accordingly — sometimes shifting allocation methods, considering the federal SALT-cap impact, or watching for legislative changes.
Does Pennsylvania have an estate tax or inheritance tax?
Pennsylvania repealed its estate tax decades ago, but PA still imposes an inheritance tax at graduated rates: 0% to spouse and to children under 21, 4.5% to lineal descendants (children, grandchildren) and lineal ancestors (parents, grandparents), 12% to siblings, and 15% to all other heirs. Charitable bequests are exempt. The tax is paid by heirs from their share, due 9 months from date of death.
Why does Pennsylvania use 8 different classes of income, and does it allow capital loss carryovers?
Pennsylvania uses 8 separate classes of income (compensation, interest, dividends, net profits from a business, net gains from sale of property, rents/royalties/patents/copyrights, gambling winnings, estates and trusts) and generally does not allow losses in one class to offset gains in another. PA also does not allow capital loss carryovers from prior years and does not allow most federal itemized deductions. We handle PA's unique income-class accounting carefully — particularly for active traders and investors.
I run a business in Philadelphia. What are BIRT and NPT?
Philadelphia imposes two separate business taxes on top of state and federal: the Business Income and Receipts Tax (BIRT) on the income and gross receipts of businesses operating in Philly, and the Net Profits Tax (NPT) on unincorporated businesses (sole proprietorships and partnerships) where the owner is a Philly resident. Most Philadelphia businesses owe both BIRT and NPT, with credits between them designed to avoid double-tax. We handle Philadelphia business tax compliance.
When does my Pennsylvania nonprofit need an audit?
Under Pennsylvania's Solicitation of Funds for Charitable Purposes Act, charities registered with the PA Department of State Bureau of Corporations and Charitable Organizations are generally required to submit audited financial statements when annual gross contributions equal or exceed $750,000, and reviewed financial statements when gross contributions are between $250,000 and $750,000. Federal Single Audit requirements under 2 CFR Part 200 apply separately when federal award expenditures exceed $1,000,000 in a fiscal year.