The Property Tax Independence Act Senate Announcement
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The
Property Tax Independence Act - Pennsylvania State Senate Introduction
On December 14, State Senator David Argall (R-29) announced that he will be introducing the PCTA-supported Property Tax Independence Act in the Pennsylvania Senate in January, shortly after the same legislation is introduced in the House of Representatives. The provisions of the Senate bill will be virtually identical to those of the House version, the details of which are here. Several Senators from both parties have already agreed to co-sponsor the bill.
Since this is the first time we’ve had an introduction of identical school property tax elimination legislation in both chambers, this is VERY good news. The PTCC and PCTA thank Senator Argall for his commitment to this effort and for his willingness to help advance this vital legislation.
The Op-Ed feature with Senator Argall’s announcement is below.
Op-Ed: Property Tax Elimination
Could Promote Home Ownership, Job Growth
By: Senator David G. Argall (R-29)
December 14, 2011
For more than 175 years, Pennsylvania has funded our school districts
through property taxes. For as long as I've been alive, it has been among
the most universally hated taxes in the Commonwealth. While today's students
benefit from state-of-the-art technology in the classroom, it is absurd
that taxpayers are stuck with the same school financing model that was
used in the days of the one-room schoolhouse and the abacus.
Quite simply, we cannot "fix" or "reform" this archaic
tax—That is why I am introducing legislation to offer taxpayers
a new education funding model that would promote economic growth in our
communities, ensure all Pennsylvania schools receive adequate funding
and completely eliminate the school district property tax once and for
all.
The Property Tax Independence Act would abolish the property tax on all
homesteads, farmsteads and businesses across the Commonwealth. The bill
would also eliminate all local Earned Income taxes. The plan would fund
public schools by increasing the state sales tax from 6 percent to 7 percent
and expanding the sales tax to include more services and purchases. The
plan also calls for the creation of a Constitutional amendment that would
prohibit the property tax from ever being imposed on state residents again.
Far too many local residents have lost their homes or were forced to sell
due to unpaid property taxes or high monthly property tax escrow payments.
Eliminating the property tax burden would help protect these individuals
and families and make home ownership more affordable for all Pennsylvanians.
In effect, returning the approximately $10 billion in property taxes to
homeowners could act as a stimulus program for our state's economy by
boosting a housing market that has been hit hard by this long and terrible
recession and attracting businesses that are leery of relocating to a
state with a high property tax burden.
Nearly every lawmaker agrees that the property tax is the wrong way to
fund our public schools; the biggest roadblock to real property tax reform
is a lack of consensus on the right way to fund our public schools. This
plan addresses many of the concerns offered by legislators and represents
a realistic option for real reform of our broken school funding system.
I am hopeful we can build on the efforts of previous property tax reform
proposals to finally eliminate this burden on taxpayers.
Please subscribe to the free PTCC e-mail newsletter
to receive up-to-date information about the Property Tax Independence
Act and suggestions for what you can do to help achieve its enactment.
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