We Support SB 653: Following last week’s meeting of the Greater Lehigh Valley Chamber of Commerce Tax Committee, The Chamber is announcing its SUPPORT of SB 653. With PA Senator Pat Browne as the lead sponsor, SB 653 builds on the success of Act 32 which The Chamber very actively supported statewide back in 2008. Act 32 consolidated and modernized the collection of local Earned Income Tax (EIT) at the county level. This act reduced the number of collection districts from 560 to 69. According to the Legislative Budget and Finance Committee report from October of 2016, Act 32 has increased local EIT collection by approximately $173 million (8.5%) annually since 2012. SB 653 will continue to consolidate the collection of all other local taxes except for real estate and business privilege tax. By expanding consolidation and modernization, SB 653 will increase taxpayers’ confidence in the honesty and fairness of the local tax system. The new collection system will reduce confusion for all businesses involved as well as the cost of local government delinquency collections for unpaid taxes. Local/municipal revenues will be increased without having to raise taxes. Organizations such as the Pennsylvania Economy League, Pennsylvania Municipal League and the Pennsylvania State Association of Township Commissioners. have also expressed their support in favor of SB 653.
The Chamber's Tax & Regulatory Committee is composed of member small business owners, as well as tax and finance and management specialists, who review the annual fiscal plans and tax legislation at the local, state, and federal levels to assure that tax burdens are shared equally. The Committee assumes responsibility for informing the municipal officials, General Assembly, and Congress of the Lehigh Valley’s tax concerns.