HARRISBURG, Pa. (WHTM) – A new bill designed to eliminate school property taxes in Pennsylvania was unveiled at the state Capitol on Tuesday.
House Bill 13 calls for the total elimination of school property taxes. The local personal income tax would increase by 1.85% and a local sales tax of 2% would be introduced, including on currently exempt items like food and clothing.
“School property taxes are increasing at a rate of $500 million per year,” said Rep. Frank Ryan (R-Lebanon), sponsor of House Bill 13. “If we don’t resolve this problem this session, it’s not going to end.”
Social security would not be taxed under the bill. Retirement would be taxed at a rate of close to five percent.