New tax bill clears the state House



(The Center Square) – An expansive tax proposal narrowly cleared the state House on Tuesday that could ride the coattails of the state budget’s unfinished accompanying legislation – the code bills – to Gov. Josh Shapiro’s desk.

The measure’s $1.7 billion price tag, according to the fiscal note with the bill, would offer incentives to businesses and local governments and boost credits for families and workers.

House Democrats lauded the proposal as a “responsible tax cut plan” that shows “commitment to working families, businesses, and communities.” Republicans in the lower chamber, none of whom voted in favor, said “good” bipartisan provisions tied to special interest handouts forced lawmakers to “choose between throwing the baby of good policy out with the bathwater of harmful legislation.”

Senate Republican leadership, however, called the “historic shift” in tax policy “intriguing” and wondered aloud if Shapiro would sign the bill, should the upper chamber send it to his desk.

“Observing the House moving from performative to substantive action is a step in the right direction,” said Majority Leader Joe Pittman, R-Indiana. “I am eager to know what the governor would do upon this legislation reaching his desk.”

The Center Square reached out to the Shapiro administration for comment; response had been received prior to publication.



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