Category: Taxes

Medical Device Tax $194 Million Per Month

Medical Device Tax $194 Million Per Month — Senator Pat Toomey (R-Pa.) says the medical device tax that took effect in January as part of Obamacare is expected to cost device manufacturers roughly $194 million per month putting 43,000 American jobs at risk.

He says that in Pennsylvania, the medical device tax will cost our economy $100 million a year, causing job losses and harming the ability of companies to expand and hire.

“I have heard from many manufacturers including Fujirebio Diagnostics based in Malvern, B. Braun located in the Lehigh Valley, and Cook Medical with a location in Vandergrift that this tax is already eliminating Pennsylvania jobs, undermining our economy, and driving up the cost of care for patients,” he said. “I continue to work to repeal the medical device tax that was created in the president’s health care law. We must eliminate a burdensome provision of this law which forces manufacturers of medical devices – ranging from cochlear implants to pacemakers to artificial joints – to pay a 2.3 percent tax on their sales.”

 

Medical Device Tax $194 Million Per Month

Medical Device Tax $194 Million Per Month

Pennsylvania Inheritance Tax Bill Before Senate

Pennsylvania Inheritance Tax Bill Before Senate — The House voted this week in support of legislation to eliminate the inheritance tax on property transferred upon the death of a natural, adoptive or step-parent to or for the use of a child 21 years of age or younger.

House Bill 659 would eliminate the current 4.5 percent tax placed on a property transfer of that type. The bill unanimously passed the House last session and is one step in dealing with the levy commonly referred to as the “death tax.” Current law does not tax the transfer of property upon the death of a child 21 years of age or younger to or for the use of a natural, adoptive or step-parent, and this bill seeks to ensure children also would not be taxed in the event of a property transfer.

House Bill 659 goes to the Senate for consideration.

 

Pennsylvania Inheritance Tax Bill Before Senate

Pennsylvania Inheritance Tax Bill Before Senate

GOP Stalls Property Tax Reform Bill

The State House Finance Committee, yesterday, June 11, voted 13-11 to table House Bill 1776 i.e.  Property Tax Independence Act (House Bill 1776), sponsored by Rep. Jim Cox (R-129)
The bill would prohibit property taxes from being used to fund public schools, replacing them dollar for dollar with increases in the sales and income taxes.
School funding makes for about 80 percent of the property tax burden in the state and about 10,000 Pennsylvanian lose their homes annually due to an inability to pay property tax.
Basically, under the current system we are renting our homes from the state.
The motion to table was made by Rep. Eli Evankovich (R-54) and nine of the 13 supporting it were Republicans. Six of the 10 Democrats on the 25-member committee voted to send the bill on to the House for a full vote.
“This proves that property tax independence is not a partisan issue,” Cox said.  “A majority of Democrats on the committee voted with us to move the bill forward.  Unfortunately, we had some Republicans who voted to stall our efforts.  Perhaps those lawmakers need to hear from their property taxpayers.”
The motion does not kill the bill, Cox says.
Cox said that  opponents argued the bill should be amended before being approved.  However, none of these members offered an amendment at today’s House Finance Committee meeting.
“I wonder about the sincerity of members who said they’d vote for the bill if it was changed, but chose not to offer any amendments,” Cox said.  “In my experience in Harrisburg, that is often a tactic used to avoid an important issue.”
Other members argued that the vote should be delayed until the bill was in pristine condition for the committee’s consideration.  However, Cox rightly pointed out that the committee did not hold other major pieces of legislation to the same standard.  House Bill 1950, which placed a fee on Marcellus Shale, was significantly amended after being approved by the House Finance Committee but before being signed into law.  Likewise, House Bill 2150, which would close a tax loophole and provide millions of dollars in tax breaks for corporations, was also amended after the House Finance Committee considered it.
“The committee seems to hold a bill that would benefit homeowners to a higher standard than it did bills that would benefit environmentalists or corporations,” Cox said.  “I think constituents are left to draw the conclusion that there appears to be two different yardsticks used to measure bills before the House Finance Committee.
“Pennsylvania homeowners now have a list of lawmakers who need to be persuaded to support the Property Tax Independence Act,” Cox said about those who voted to table the bill.  “I would hope the constituents of these representatives would reach out to the members and encourage them to support the bill in the future.”
House Finance Committee members who joined Cox in voting against the motion to table the bill include:  Rep. Ryan Aument (R-41), Rep. John Bear (R-97), Rep. Scott Boyd (R-43), Rep. Matt Bradford (D-70),  Rep. Flo Fabrizio (D-2), Rep. Adam Harris (R-82), Rep. Sid Kavulich (D-144), Rep. Rick Mirabito (D-83), Rep. Matt Smith (D-42) and Democratic Chairwoman Phyllis Mundy (D-120)
 GOP Stalls Property Tax Reform Bill
GOP Stalls Property Tax Reform Bill

The Ghost Of Tom Joad And Neshaminy Teachers

Tom Joad, the heroic working class everyman from the Grapes of Wrath played by Henry Fonda, is oft cited by the labor movement in its cries for social justice.

In the spirit of Tom Joad, whose California trip was started by the repossession of his family home, The Citizens Alliance of Pennsylvania  is advertising the salaries and benefits of the teachers in the Neshaminy School District, who are forcing the district’s children to go without an education in an attempt to get even more than the $107,002 average package they now receive.
Some rob with a six-gun. Some rob with a fountain pen. The latter are worse.
It should be noted that the burden the Neshaminy teachers are placing on their residents is happening in every school district throughout the state.
By the way, not all of those on the list are classroom teachers. They include gym teachers, guidance counselors and librarians all of whom get the same rate.
Here is a link to a downloadable pdf list of the names, salaries and benefits.

Bill Would Grant Survivors Deceased Property Tax Rebates

The State House, yesterday, June 5, passed HB 468, that would allow survivors of a person   eligible for the state’s Property Tax and Rent Rebate program  to collect benefits the deceased would have been eligible to receive.

The vote was 197-0. The bill had been introduced by Jim Cox (R-129). It now goes to the Senate.

“When a person who is eligible for the Property Tax and Rent Rebate program passes away, a family member should be able to collect the money,” Cox said.

The Property Tax and Rent Rebate program provides benefits based on the previous year’s taxes or rent. For example, the program in 2012 will provide rebates for taxes and rent paid by eligible applicants in 2011. Therefore, an applicant who paid property taxes in 2011 but passed away before the end of that year would not have an opportunity to apply for a rebate.

Currently, the benefit owed to the deceased person would be lost and family members would be unable to claim it.

“These families are dealing with the loss of a loved one,” Cox said. “Denying them the rebate that their loved one was eligible for is like throwing salt in an open wound.”

Under Cox’s legislation, a family member – including a surviving spouse, child, mother or father, or sister or brother – would be eligible to collect the benefit owed to the deceased person.

‘Only’ 10,000 Annually Lose Homes Due To Property Tax In Pa.

The House Finance Committee will vote June 11 on whether to send   the Property Tax Independence Act (House Bill 1776) on down the line according to the bill’s sponsor Rep. Jim Cox (R-129). 
A hearing on the bill was held yesterday, June 4.
The bill  is the only legislation before the House that would completely replace school district property taxes. 
Cox noted that farmers are now supporting the bill.
The Property Tax Independence Act would replace school property tax funding for schools across the Commonwealth with new state revenues. The bill would provide the same level of funding for schools across Pennsylvania as they currently receive through school property taxes. 
The legislation would use an increased state Personal Income Tax and an enhanced and expanded state sales tax to replace school district property tax revenues. The income tax would rise from approximately 3 percent to 4 percent. The sales tax would be enhanced from 6 percent to 7 percent. Several special interest loopholes in the sales tax also would be closed, Cox said. 
“Switching to income and sales taxes for school funding provides the obvious benefits of spreading the burden of public education to all who benefit from the investment, not just landowners,” said Joel Rotz, director of state governmental relations with the Pennsylvania Farm Bureau, in his prepared testimony before the committee. “It also better reflects [the] ability to pay based upon income and the sale of items consumers choose to purchase.” 
“The Pennsylvania State Grange has supported elimination of the property tax for many years,” said Betsy Huber, who serves as legislative liaison for the organization, in prepared testimony delivered to the committee. “The Grange supports taxation for our public schools based on an income tax and/or sales tax that are based on ability to pay.” 
Not all testifiers supported the proposal. The Pennsylvania Budget and Policy Center, a liberal think tank based in Harrisburg, came out in opposition to the Property Tax Independence Act. Michael Wood, the center’s research director, testified before the committee that, because the school district property tax only forces approximately 10,000 Pennsylvanians out of their homes each year, replacing it was unjustifiable.  
For additional information about the Property Tax Independence Act, including a complete list of items that would be subject to the expanded state sales tax, constituents should visit www.RepJimCox.com.

Proposed Springfield School Budget Would Hike Taxes $110 For Average Homeowner

Regina  Scheerer attended tonight’s (May 10) Springfield (Delco) School Board where the final budget was presented. 

She says it would increase property taxes 2.7 percent   28.730 mills which would mean the average homeowner would pay $110 more than last year.

Last year’s increase was 2.76% at 27.975 mills.

Say says the new 5-year teacher contract will be a factor, but will not cause an increase above what is proposed.

She says that a public comment on the budget will be taken at a hearing 5:30 p.m., next Thursday at the McLaughlin Center.

The proposed budget can be found at  at www.ssdcougars.org, under District, Financial Information, then Budget.

It will also be available at the Township Library.

  

Rally Against Home Tax Tyranny Is Monday

Rep. Jim Cox (R-129) is asking those planning on attending his rally on  Monday, May 7, in support of House Bill 1776 to RSVP at his website.

HB 1776 would stop property taxes from being used to fund public schools hence making it easier for those on fixed incomes or out of work to save their homes, and be of great benefit to family famers

The school funding mechanism would be replaced with other taxes.

A Quiet Push To Reform Pa.’s Prevailing Wage Law

Pennsylvania’s prevailing wage law passed in 1961 requires all local governments and state agencies to pay workers a rate  determined by the state’s Secretary of Labor for any “construction, reconstruction, demolition, alteration and/or repair work.”

This law has been shown to hike labor costs for school additions and such by as much as 44 percent.

Seven bills, some which would radically reform how prevailing wage is handled in Pennsylvania, were voted out of the Labor and Industry Committee of the State House chaired by Rep. Ron Miller (R- 93) on Oct. 3.

The most significant would be HB 1191 sponsored by Rep. Ron Marsico (R-105) which exempts local governments (school districts, municipalities and counties) from prevailing wage requirements — unless they really, really want them.

That raises the question as to what local government could possible want them. Go to Upper Darby, stand on the west bank of Cobbs Creek and look east. See that big, steaming pit of greed, corruption and incompetence? That one.

Also voted out of committee were:

HB 709 sponsored by Warren Kampf (R-157) which simply exempts school districts from the requirements.

HB 1271 sponsored by Rep. Marsico which would clarify, and expand, the maintenance exemptions for road work from prevailing wage requirements.

HB 1329 sponsored by Fred Keller (R-85) which would raise  to $185,000 the point at which which projects become subject to prevailing wage requirements. The mark is now  set at $25,000 as it has been since 1961. That amount in 1961 dollars roughly equals $185,000 today. Keller’s bill would require the limit to be adjusted annually for inflation or deflation.

HB 1367 sponsored by Rep. Miller which would require the Secretary of Labor to use data from the Labor Department’s Center for Workforce and Analysis in determining the prevailing wage.

HB 1541 sponsored by Scott Perry (R-92) which would require a project to be at least 51-percent publicly funded to be subject to prevailing wage restrictions.

HB 1685  sponsored by John Bear (R-97) which would standardize and require the public listings of worker classifications.

All the bills would help the taxpayer. With HB 1191, however, the taxpayer might actually notice it.

Adolph Says Vote Likely On Pa. NoBamaCare Bill

The man accused of bottling up a bill that would make much of Obamacare hard to enforce in Pennsylvania told the Delaware County Patriots, Thursday, May 19, that it will likely come up for a vote this year.

State Rep. Bill Adolph (R-165), who chairs the House Appropriations Committee has been accused of sitting on HB 42 by Tea Party activists. The bill has been tied up in Adolph’s committee since Feb. 8.

HB 42, introduced by Matthew Baker (R-68) on Jan. 19, says A law
or rule shall not compel, through penalties and fines, directly or
indirectly, any individual, employer or health care provider to
participate in any health care system.

It also specifically
says that an individual or employer may pay directly for lawful health
care services and shall not be required to pay penalties or fines for
doing so; and specifically allows  health care providers to accept
direct payments without penalties. It also prohibits state law enforcement and regulatory agencies from
participating “in compliance with any Federal law, regulation or policy”
that would compromise the “freedom of choice in health care” of any
resident of the state.

Adolph told the group, which met at Knights of Columbus hall in Newtown Square, that the biggest budget problem facing the state was the expiration of federal stimulus money. He said  last year’s $28 billion budget contained $3.1 billion of the fed dollars.

The $27.3 billion budget proposed by Gov. Corbett places a heavier burden on the state taxpayers despite it being smaller. House Republicans have tweaked the budget by easing some of the cuts the Governor had made to education while adding cuts to welfare. Adolph said the House budget gives state higher education 75 percent of what it had gotten last year, while Corbett would have cut the outlay in half.

Adolph said that the House budget actually ends up being few hundred thousand dollars less than the Governors.

Concerning the questions fielded by Adolph — and HB 42 was one — he said:

— He supported in principle privatizing the state-owned liquor stores but would not commit to any specific legislation as the “devil was in the details”.

— He supported giving school boards the power to furlough teachers for economic reasons. He, however, ducked the other half regarding his position on ending the requirement that school districts and municipalities pay prevailing wage for renovation and construction projects.

–He is not familiar with the First Suburbs issue which is starting to be discussed in Tea Party groups and appears to be an attempt to use government programs such as Section 8 housing to economically “diversify” Philadelphia’s older suburbs in accordance with the preferences of academics and activists.

–He supported abolishing the inheritance tax.

–He voted for and supports HB 1330, which expands the state’s Educational Improvement Tax Credit, and that he was only aware of the highlights of SB 1, the school choice bill bottled up in the Senate. He said he supports school choice in principle.

–That teachers should not be allowed to strike.

— He supports voter ID.

— He believes in state sovereignty.

— He supports cutting the size of the state legislature.

The only matter on which he incurred the crowd’s wrath concerned state pensions, and his unwillingness to condemn former State Sen. Bob Mellow’s $300,000 pension in significantly vociferous terms. He said Mellow’s pension plan had been grandfathered from before 1974, and that he should get it. He did not seem to get that it may fairer and more just to change the terms of an old poorly conceived contract rather than make a widow who was not party to it lose her home trying to fulfill it.