Those pushing to cut Philadelphia’s wage tax by raising taxes on commercial real estate in the city are enjoying some success in Harrisburg.
But the plan still has a long road ahead of it.
In its current form, the bill would allow Philadelphia to charge higher real estate taxes on commercial properties while lowering some job crushing business taxes, said state Rep. John Taylor.
“Studies have shown that negatively effects job growth in the city.” said Taylor, R-Philadelphia. “We lag far behind major cities — even in the Northeast — in job growth. To do that without affecting city revenues, the business community has agreed to pay a higher property tax in exchange for a dollar-for-dollar reduction in the wage tax and business taxes.”
Even with its approval in the state House and Senate, it will have to be voted on again in 2017 because it would change the Pennsylvania Constitution.
“You have to pass it in two consecutive legislative sessions,” he said.
If successful then, the question would be put to voters statewide.