Wolf’s proposed tax increase is troublesome
Gov. Tom Wolf’s proposed personal income tax increase from 3.07% to 4.49% is very troublesome (Feb. 12, “Wolf’s Tax Plan Debated Amid Big Budget Gap”).
For decades, there have been efforts to change the way schools are funded. Pennsylvania raises about 64% of school funding off the backs of property owners. This is one of the highest, if not the highest, percentages in the nation. Property owners are a highly discriminated against class as they are forced to bear the bulk of the burden for funding schools.
A far more fair and equitable way is to move to a statelevel funding model. Many proposals have been made with S.B. 76, the best known of the bills, which would have increased sales and use tax from 6%to 7% and expanded the tax base. In addition, income tax would have been increased from 3.07% to somewhere in the range of 4.34 to 4.95%, pending final financial analysis.
In effect, everyone in the state would be paying the same rate for funding schools. Just think of it like a flat tax; what can be more fair? The bill has the added benefit of collecting revenue from outof-state residents via any taxable item purchased.
The current income tax increase he proposes is in line with what S.B. 76 would have increased the income tax. The big difference is under his proposal there is no elimination of property taxes with an income tax increase.
The naysayers’ concerns have been addressed time and time again. They just repeat all the false and easily refuted propaganda. The Pennsylvania Independent Fiscal Office stated the vast majority of folks would win under S.B. 76. Perhaps a small percentage of individuals would lose under an elimination bill, but far less than under the current system. While Mr. Wolf claims that 67% of Pennsylvanians will either get a tax cut or see their taxes stay the same, he is perpetuating class warfare that has created a vast system of winners and losers.
The irony and hypocrisy of his proposal should not be lost.
DANIEL HOTCHKISS Erie, Pa.