Putting Pennsylvania Families First
HARRISBURG – The Senate approved legislation to dramatically decrease costs for Pennsylvania families by cutting taxes on electric bills and school supplies, strengthening the state’s Educational Improvement Tax Credit (EITC) program and eliminating the current sales tax exemption for data centers, according to Sen. Judy Ward (R-30), who supported the measure.
“Senate Republicans have taken action to deliver historic tax cuts to put families first,” said Ward. “Earlier this week, the House passed House Bill 2632 which would have terminated the current EITC program as we know it leaving children stranded in failing schools. I was proud to offer an amendment to House Bill 1667 that would provide stability for our EITC program while increasing funding. This program empowers parents and students by providing the resources to choose the school that best meets a student’s educational needs. My colleagues and I remain committed to ensuring every child across the Commonwealth has the opportunity to succeed in the learning environment that is the best fit for them.”
Making up the largest tax cut in Pennsylvania history, the proposal would eliminate the gross receipts tax on electric bills and require utility companies to pass the reduction on to consumers, saving ratepayers more than $1.7 billion over the first year. It would also implement a two-week sales tax holiday in August for school supplies, such as book bags, crayons, textbooks and tablets.
The highly successful EITC program, which provides scholarships to help families send children to schools that best meet student needs, would receive an additional $25 million under the legislation, bringing the total to $705 million. EITC scholarships remain a Senate Republican priority for empowering Pennsylvania parents.
House Bill 1667, as amended by the Senate, would also respond to concerns being raised across the commonwealth by eliminating the existing sales tax exemption for data centers.
The Senate action comes at a time when hardworking Pennsylvania families are laser-focused on the issue of affordability. The bill now moves to the House of Representatives for consideration.