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04/23/2024 11:45 AM
Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20210&cosponId=32965
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House of Representatives
Session of 2021 - 2022 Regular Session

MEMORANDUM

Posted: December 3, 2020 10:35 AM
From: Representative Eddie Day Pashinski
To: All House members
Subject: Universal Property Tax Relief Rebate Program
 
For decades the state legislature has attempted to eliminate or significantly reduce school property taxes for Pennsylvanians struggling to afford to stay in their homes – and each has failed because the now $14 billion needed to replace the lost revenue was too large to replace responsibly. That is why I am proposing a practical and balanced Property Tax Relief Rebate program to provide school property tax relief to working families and seniors who are struggling to stay in their homes.

My plan is straightforward: Provide an $800 rebate to all property taxpayers for their school property taxes, and $50 rebates for renters through a small Personal Income Tax (PIT) increase to 3.49% and the expansion of sales tax to certain luxury items and services. This fully-funded $2.8 Billion property tax relief plan will provide real relief for Pennsylvania’s seniors and working families – for example in Luzerne County where the median property tax bill is just over $1,500, many homeowners would see their property taxes cut by more than 50%.

Even when accounting for those who will see a modest PIT increase, the vast majority of Pennsylvanians will see savings from $170 to over $650 in relief. Importantly, any retired senior property taxpayers not collecting a paycheck will not pay a PIT and will see the full benefit of the $800 rebate.

This plan is plausible, practical, and doable. Instead of funding tax relief from the bank accounts of the very people who need the help the most, this Property Tax Relief Rebate program utilizes untapped sales tax revenue on expenses like professional entertainment, professional sports, cosmetic improvements to buildings and dwellings, as well as services like massages and spas – without increasing the current sales tax rate or expanding the sales tax to essential items like food and clothing.

Please join me in co-sponsoring this legislation to provide responsible property tax relief to millions of Pennsylvanians.

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