The recent Harrisburg Patriot News report that Yuengling Brewery is contemplating expanding its operation out of state should be troubling news to everyone concerned about Pennsylvania's job growth.
In the story, President Dick Yuengling Jr. stated that, “Pennsylvania is a great location. But it’s not very business-friendly. You look for fair tax breaks, fair taxation. And the bottom line is more jobs. That’s what it’s all about.”
Mr. Yeungling's concerns are real. This spring, with my support, the House of Representatives passed HB2150. This legislation reduces Pennsylvania's highest in the nation Corporate Net Income Tax from 9.99% to a national average rate of 6.9%. The bill also moves Pennsylvania’s tax apportionment system to a single-sales factor and closes the Delaware Loophole to ensure that all companies are paying their taxes.
This legislation passed the House by a vote of 129-58, with overwhelming bipartisan support, and currently sits in the Senate. It is an example of how, after eight years of the tax-and-spend policies of Governor Rendell, we are moving in the right direction. Unfortunately my opponent, Kevin Deely, in a recent PBS debate said high taxes on business are 20th on his list of concerns and the state just needs to spend more. This dangerous, out of touch philosophy, would take us back to the days of increased spending and debt that drove a $4 billion budget deficit.
Rather than play political games, I believe we must focus on the cause of our problems, which is our high cost of doing business. That's why I worked in a bipartisan manner to lower the CNI to the national average, move to a single-sales factor, and close the Delaware Loophole.