|Posted:||December 4, 2020 02:46 PM|
|From:||Representative Barbara Gleim|
|To:||All House members|
|Subject:||Reducing the Corportate Net Income Tax rate (CNIT) from 9.99% to 5.99% Over a Four-Year Period (Former HB2224)|
|In the near future, I plan to re-introduce legislation to ensure Pennsylvania remains economically competitive by reducing our Corporate Net Income Tax rate (CNIT) from 9.99% to 5.99% over a four-year period.
Pennsylvania’s current CNIT rate, the highest single-rate CNI tax in the country, stifles economic growth and hurts our ability to be competitive by discouraging businesses from developing in the Commonwealth. This extremely high tax rate is also particularly onerous to industries with long or uneven business cycles because of the limitations Pennsylvania also places on net operating loss deductions.
My legislation will reduce Pennsylvania’s Corporate Net Income Tax rate from 9.99% to 5.99% over a four-year period using the following phase-down schedule:
7.99% in tax year 2022
6.99% in tax year 2023
6.49% in tax year 2024
5.99% in tax year 2025
This change will help to make Pennsylvania more competitive with neighboring states such as West Virginia, New York, Ohio and Virginia.
Please consider joining me in co-sponsoring this legislation to ensure Pennsylvania remains economically competitive and business friendly.
Previous Co-sponsors: STAATS, ROWE, RYAN, SCHLEGEL CULVER,
KAUFFMAN, ECKER, READSHAW, BERNSTINE, PICKETT, T. DAVIS,
OWLETT, BOROWICZ, MOUL, MILLARD, KEEFER, LAWRENCE, STRUZZI
Introduced as HB127