|May 6, 2015 10:17 AM
|Representative Kevin J. Schreiber
|All House members
|School District Real Property Tax Relief
|In the near future, I plan to introduce the School District Real Property Tax Relief Act as proposed by Governor Tom Wolf. This piece of legislation is an essential component of the 2015-2016 budget.
This legislation enables historic dollar-for-dollar tax relief to finally cut school property taxes by $3.8 billion. The tax reduction targets greater relief to high-tax, high-poverty communities, and would revitalize communities across the Commonwealth, spur economic growth, enhance real estate values, and transform the fates of numerous boroughs, towns and cities. Indeed, many communities would receive the maximum reduction in their property tax bills allowed by the Pennsylvania Constitution, and both homeowners and businesses would receive additional millage rate relief once the allowable maximum reduction is reached. As a result of the significant tax reduction, a total of 270,000 senior households--nearly 30 percent--would have their school property taxes eliminated, and the average homeowner would receive a school district property tax cut greater than 50 percent.
In addition, this legislation goes further than ever before to prevent future property tax increases. To achieve this common goal, the legislation maintains Pennsylvania’s existing limits on school property tax increases and proposes stricter prohibitions on the ability of school districts to raise them in the future.
To achieve this historic tax relief, the 2015-16 budget proposes changes to the personal income tax and sales tax, and the plan incorporates more than $600 million in revenue from gaming that is already being dedicated to school property tax reductions.
Please join me in co-sponsoring this historic legislation that would provide needed tax relief to the hardworking residents of the Commonwealth.
Introduced as HB1144