The bill would return $3 billion to the people of Pa. by reducing the Personal Income Tax rate from 3.07% to 2.8% and eliminating the Gross Receipts Tax on electric bills.
On Wednesday, Rep. Donna Scheuren (R-Montgomery) and the House Republican Policy Committee, led by Chairman Josh Kail (R-Beaver/Washington), convened the third hearing in a series to discuss the House Republican tax cut bill (House Bill 2388) that would return $3 billion to the people of Pennsylvania by reducing the Personal Income Tax (PIT) rate from 3.07% to 2.8% and eliminating the Gross Receipts Tax on electric bills. The hearing also addressed the Democrats’ Basic Education Funding Commission (BEFC) report, which fails to adequately support students, and places an undue burden on citizens.
The hearing, “The Benefit of Republican Tax Cuts, the Detriment of Democrat Property Tax Hikes,” featured testifiers Andrew Holman, policy analyst, Commonwealth Foundation; Dr. Frank Gallagher, superintendent, Souderton School District; Chris Canavan, president, W.B. Homes and township supervisor, Lower Salford Township; Wendell Weaver, vice president, Alderfer Glass; and Keith Freed, tax collector, Franconia Township.
Pennsylvania’s economy is stagnant. The Commonwealth is struggling to balance an aging population without incentives to retain young workers. Businesses are relocating to states with more favorable tax environments, and start-ups are deterred by the “start-up penalty.” Inflation has made everyday essentials, like groceries, gas and electricity, unaffordable for many. Amidst the bleak reality, the governor claims he wants Pennsylvania to compete with other states. Instead of putting money back into the pockets of Pennsylvanians, he is spending taxpayers’ money without restraint. Taxpayer spending does not stop there.
With the Democrat’s education funding plan, more taxpayer dollars could be at risk. Certain school districts, including Souderton School District, represented by Scheuren, are at risk of increased property taxes despite being fiscally responsible and producing excellent student outcomes.
“I brought the Policy Committee here to Montgomery County to give my constituents an opportunity to share their concerns as it relates to tax reform. And I’m pleased to say voices in my district were heard today,” said Scheuren. “Schools, businesses, individuals none should have their taxes raised higher to then qualify for increased funding from the governor. That logic is outrageous, nonsensical and it penalizes school districts that are governing correctly. By shining a light on these critical issues related to tax policy and the pending budget, my colleagues and I have our marching orders for Harrisburg and will be fighting for what’s fair for our constituents.”
“If there was ever a time in our lifetime when we needed less government, it is now,” said Kail. “We need lower and fewer taxes. Pennsylvanians deserve control over their own destiny, and both school choice and tax reform can accomplish this.”
To watch this complete hearing or the hearings from June 11 and June 17, visit pagoppolicy.com/video/policy.
The next hearings in the “Historic Tax Cuts” series will be held on Thursday, June 20 (Cambria County), and Friday, June 21 (Allegheny County).