Posted: | January 18, 2017 03:34 PM |
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From: | Representative Stephen Bloom |
To: | All House members |
Subject: | Request IFO Study Regarding Like-Kind Exchanges |
In the near future I will be introducing a resolution instructing the Independent Fiscal Office (IFO) to perform a dynamic analysis of the overall economic benefit and tax revenue impact of eliminating Pennsylvania’s tax on like-kind exchanges. A like-kind exchange allows a taxpayer to defer current recognition of gains and losses when selling and acquiring a replacement property. Pennsylvania is currently regarded as the most business-unfriendly state when it comes to like-kind exchanges. All other states with an income tax regime follow the Federal tax code, which provides for nontaxable like-kind exchanges (section 1031 exchanges), or have adopted their own like-kind exchange provision. Hence, my request for the Independent Fiscal Office (IFO) to perform this analysis. Please join me in cosponsoring this important resolution. |