A good reason to tax?
This morning, the State House Finance Committee is deliberating over a bill that would allow counties to raise their sales tax by 1 percent.
If deemed favorable, House Bill 2230 also would let local taxing jurisdictions to impose a local income tax with the option of a personal income tax or an earned income tax.
This isn't the first time legislators tried to push the local option tax, but this incarnation was proposed by York County Republican Rep. Seth Grove.
Under the plan, the income tax would be required to generate enough revenue to equal at least a 30 percent reduction in property taxes, and a municipality using the new tax could not raise property taxes. A referendum would be required to pass the local option.
We've been expecting a local option tax since recessionary effects have crippled municipal budgets. Then again, a tax — in good times and bad — never goes away.
What's your take? Is this a necessary tax option?
Christopher Passante is editor of Central Penn Business Journal.