Tuesday, May 7, 2013

HB 440 Heads to the PA Senate

Yesterday, Pennsylvania moved a step closer to right-sizing taxes in Pennsylvania.  By a vote of 129-65, House Bill 440, was approved with bi-partisan support.  It is now heading to the PA Senate.

The bill, sponsored by Rep. Dave Reed (R-Indiana,) would lower the commonwealth’s corporate income tax by 3% over ten years, expand the Net Operating Loss deduction, and close the “Delaware Loophole” exploited by some businesses to avoid paying Pennsylvania taxes.

Creating a business climate that promotes job creation is critical to the economy of Pennsylvania.  This is particularly true in Northeastern Pennsylvania where we regularly lead the state in unemployment.  And, for years, Pennsylvania has ranked among the worst states in the nation for corporate taxes.  According to the non-partisan Tax Foundation, our rate of 10.24% is higher than the national average (9.9) and makes Pennsylvania the 10th worst to do business in when considering this factor.

Local Democratic Reps. Kevin Haggerty, Sid Kavulich, Phyllis Mundy, and Ed Pashinski voted to keep Pennsylvania taxes high and the Delaware Loophole open.

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