Pa. House Approves Business Tax Cut Bill
HARRISBURG, Pa. (AP) – A proposal to cut business taxes and attempt to close the much-maligned “Delaware loophole” is on its way to the state Senate after the Pennsylvania House of Representatives approved it over Democrats' objections.
The Republican- controlled House voted 129-to- 58 on Wednesday to cut the corporate net income tax rate from 10 percent to 7 percent over six years, and make other business-friendly tax changes.
Supporters predict it will fuel business growth and pay for itself over the coming years, but opponents counter that it carries a multibillion dollar price tag.
House Democratic Rep. Phyllis Mundy of Luzerne County says the bill has glaring problems and won't help “the average hard-working middle-class citizens and small businesses” that she represents.
Opponents of the loophole say it's used by businesses to avoid state taxes.