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Divernan

(15,480 posts)
Sun Feb 10, 2013, 01:01 PM Feb 2013

Corbett's multiple tax increases on Pennsylvanians

Corbett's "deregulation", i.e, increase of wholesale gasoline taxes will have a massive trickle down tax effect far beyond what we-who-drive cars pay at the pump. That projected 28.5 cents/gallon increase will also be charged to every entity which transports people, services or goods. Small and large businesses, tradesmen, school districts and local governments will all pass their increased transportation/shipping costs along to their consumers/residents in both sales AND property taxes. Transportation costs will increase for every school bus, every ambulance, every fire truck, every police patrol car (local, county and state), every utility service truck, your plumber, your electrician, your cable guy, every FedEx/postal service vehicle, every wholesale supplier to local merchants from the big box stores to the mom&pop neighborhood stores.

I understand that the Commonwealth's bridges and roadways are in dire need of repair and maintenance. I also know that if Pennsylvania charged the same level of extraction fees to Big Fracking which every other state in the union does (including GOP controlled Alaska & Texas), we'd have money to spare. It is those very highways, local roads and bridges which Big Fracking depends upon and tears up with its tens of thousands of large trucks hauling fracking fluids/water back and forth, daily worsening our roads and bridges.

Corbett and his PR flack Denis Roddy can spin their smoke and mirrors 24/7 but it does not change the facts that (1) Corbett is increasing taxes directly via wholesale gasoline taxes and secondarily via property and sales taxes and (2) it's yet another way Corbett benefits Big Fracking by upgrading the roads and bridges frackers rely upon to maximize profits.

After the GOP controlled legislature rubber stamps Corbett's budget, if any of them dare to campaign on a no-new-taxes pledge, we should jam it down their throats.

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gelsdorf

(240 posts)
1. Tommy Boy is a complete idiot
Sun Feb 10, 2013, 01:10 PM
Feb 2013

Never in Pennsylvania has there been a more corrupt 'public servant'. I wonder how much 1 term Tommy will be making after he loses next year. I'm sure a multimillion dollar a year 'position' waits

JPZenger

(6,819 posts)
2. PA. definitely needs more funding for roads, bridges and transit
Sun Feb 10, 2013, 02:46 PM
Feb 2013

PA. seriously needs additional funding for roads, bridges and mass transit. If you have any doubt, take a look at the number of bridges in PA. with weight limits or that are closed because they are deteriorating. There are many more that are in danger. Take a look at the big bridge over Cameron St. near the Capitol - as of a year ago, they had nets under it to catch falling pieces of the bridge.

The Pittsburgh area has had draconian cuts to its mass transit service. SEPTA will be in a similar situation soon after they use up the last of their savings accounts.



Curmudgeoness

(18,219 posts)
4. And I just read where he wants to do away with corporate taxes,
Sun Feb 10, 2013, 03:33 PM
Feb 2013

getting rid of the franchise tax and reducing the income tax rate.....which will cost billions of dollars of revenue. Where do you think that shortfall will be made up???? King Corbett is beginning to terrify me, as opposed to just annoying me.

JPZenger

(6,819 posts)
5. We need to reduce business tax rates - while eliminating the huge current loopholes
Mon Feb 11, 2013, 12:12 PM
Feb 2013

The Franchise Tax is a very very strange tax that no other state charges and that no one understands. It should be phased out. I just didn't like it when Corbett made it such a high priority to reduce it during years of deficits when school funding was being slashed. As the economy is improving, it should be phased out.

Also, PA. really does have the highest corporate tax rate in the country. However, it is a "sticker price" rate that few corporations pay because of loopholes allowing them to shelter income in Nevada and Delaware among other states. The corporate tax rate should be reduced, as long as it is accompanied by strong reforms to eliminate loopholes so that everyone pays their fair share. Many other states have closed these loopholes.

http://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=S&SPick=20130&cosponId=11245

Curmudgeoness

(18,219 posts)
6. Although I do agree that PA tax rates are too high,
Mon Feb 11, 2013, 09:43 PM
Feb 2013

the franchise tax is levied by several states, including Texas, Delaware, Arkansas. The problem in PA is that there are too many kinds of taxes on businesses, and it is a mess to sort through it all. And you are right, a time when we are slashing education, as well as every other social program, and we have major infrastructure problems, is not a time to look at totally cutting any tax out (franchise) as well as cutting rates drastically on other taxes (income).

There are many factors involved in attracting business, and taxes are not the only factor. You can cut all taxes out for business, and they still may not be attracted to PA. When there are no services, no infrastructure, no good schools, no parks, too much crime, etc., a business will look elsewhere. You are right, we do have to get rid of loopholes and cut the "sticker price" rate.

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