Pa. launches a tax-amnesty program Those paying delinquent bills can avoid penalties and half the interest owed. Phila. will offer a similar deal.

HARRISBURG — For the next 53 days, those who haven't paid their taxes to the state of Pennsylvania can pony up without hefty fines.

Monday was the official start of Pennsylvania's tax-amnesty program, which allows people and corporations owing back taxes to pay them without any penalties and only half the interest due.

Officials are hoping the program will generate as much as $190 million for the cash-strapped state.

Though there is no guarantee that target will be met, Gov. Rendell said at a Capitol news conference Monday that "if this campaign is only 9 percent successful, we'll get the $190 million we're aiming to get."

In all, Pennsylvania is owed more than $2.1 billion, according to the administration. About 20 percent of the 202,000 tax delinquents are from out of state, including more than 93,000 from the surrounding states of New Jersey, Delaware, New York, Maryland, Ohio, and West Virginia.

Rendell said the program was not intended to give tax delinquents "a free ride," since those who participate will still pay more than what they originally owed: the taxes, plus some interest.

"No one in this program will get away with not paying taxes," the governor said.

Nonetheless, he urged people to participate because after the amnesty window has closed, the state will resume aggressive efforts to collect what it is owed.

And those who still owe the state money will be slapped with an additional 5 percent penalty.

"Our message is, 'Find us before we find you,' " Rendell said Monday.

The program is available to all individuals and businesses with tax delinquencies as of June 30, 2009. It covers all taxes collected by the state, including personal-income taxes, sales taxes, and corporation taxes.

The state's amnesty program is similar to one that will be offered in Philadelphia.

Between next Monday and June 25, delinquent individuals in the city will be forgiven half their interest and all penalties if they pay what they owe.

The city program covers school property taxes, business-privilege taxes, and almost all other levies except the sales tax. It is expected to raise from $25 million to $100 million.

Rendell said Monday that the state was getting word out about its amnesty program through a $3 million media campaign, which includes a television ad that began airing statewide Monday. Print ads also have started running in specialized business publications.

The state also will air radio ads before the amnesty program ends June 18.

The state Department of Revenue also sent out letters last week to those owing money.

For more information about Pennsylvania's tax-amnesty program, call 1-877-347-2987 (1-877-34-PAYUP) or visit www.PATaxPayUp.com.

Contact staff writer Angela Couloumbis at 717-787-5934 or acouloumbis@phillynews.com.

Inquirer staff writer Jeff Shields contributed to this article.