PA
Pennsylvania House Bill HB1447

Pennsylvania 2023-2024 Regular Session

Pennsylvania House Bill HB1447

Introduced
6/20/23  

Caption

In corporate net income tax, further providing for imposition of tax.

Impact

The implications of HB 1447 extend to corporate entities operating within Pennsylvania, particularly benefiting larger corporations that form a considerable portion of the tax base. By lowering corporate taxes, the bill may encourage investment in state infrastructure, amplify hiring efforts, and improve overall economic conditions. However, a reduced tax rate could also lead to concerns regarding public funding for state services if the tax revenue shrinks significantly. The long-term effects will depend on how well the anticipated economic benefits materialize and compensate for the potential decrease in tax revenue.

Summary

House Bill 1447 proposes amendments to Pennsylvania's Tax Reform Code specifically targeting the corporate net income tax. The bill aims to adjust the tax rates over a specified timeline, starting with a reduction from 8.99% in 2023 to 4% by 2025 and maintaining that rate for subsequent years. This significant change is designed to stimulate economic growth by lessening the tax burden on corporations, potentially enhancing their capacity for investments and job creation within the state. The gradual phase-out plan outlines changes in the tax rates for multiple future years, illustrating a long-term vision for tax policy reform in Pennsylvania.

Sentiment

The sentiment surrounding HB 1447 exhibits a generally pro-business attitude, with supporters including many legislators advocating for economic growth and a more competitive business environment. They argue that lowering taxes for corporations will lead to job creation and increased investment in the state. Conversely, some critics express caution, raising concerns about the potential loss in tax revenue that could affect funding for essential services such as education and healthcare. The debate centers around the balance between fostering economic growth through tax incentives and ensuring adequate resources for public services.

Contention

Notable points of contention in the discussions around HB 1447 revolve around the potential impact on local communities that rely on tax revenue for vital services. Opponents argue that while corporations may benefit, the state must carefully consider the implications for public funding and service provision. There are concerns that the bill could contribute to a longer-term erosion of the tax base if the anticipated economic benefits do not materialize as expected. Thus, balancing business interests with community needs will likely remain a critical point of discussion as the bill advances through the legislative process.

Latest PA HB1447 Activity

View All Events: PA 2023-2024 Regular Session HB1447

Companion Bills

No companion bills found.

Previously Filed As

PA HB1482

In corporate net income tax, further providing for imposition of tax.

PA SB345

In corporate net income tax, further providing for imposition of tax.

PA HB1414

In corporate net income tax, further providing for imposition of tax.

PA HB760

In corporate net income tax, further providing for imposition of tax.

PA SB207

In corporate net income tax, further providing for imposition of tax.

PA HB1550

In corporate net income tax, further providing for definitions, for imposition of tax, for reports and payment of tax and for consolidated reports; and, in general provisions, further providing for underpayment of estimated tax.

PA HB1219

In personal income tax, further providing for classes of income and for special tax provisions for poverty and providing for alternative special tax provisions for poverty; in corporate net income tax, further providing for definitions, for imposition of tax, for reports and payment of tax, for consolidated reports and for manufacturing innovation and reinvestment deduction; in realty transfer tax, further providing for transfer of tax; in tax credit and tax benefit administration, further providing for definitions; in entertainment production tax credit, further providing for definitions, for credit for qualified film production expenses, for carryover, carryback and assignment of credit and for limitations; in Pennsylvania Economic Development for a Growing Economy (PA EDGE) tax credits, providing for biotechnology; in neighborhood assistance tax credit, further providing for tax credit and for grant of tax credit; providing for expanded neighborhood improvement zones; in Pennsylvania Child and Dependent Care Enhancement Tax Credit Program, further providing for credit for child and dependent care employment-related expenses; providing for Public Transportation Trust Fund; and, in general provisions, further providing for underpayment of estimated tax, for method of filing and for allocation of tax credits.

PA SB858

In mutual thrift institutions tax, further providing for imposition, report and payment of tax and exemptions.

PA SB416

In corporate net income tax, further providing for imposition of tax; and abrogating a regulation.

PA HB788

In mutual thrift institutions tax, further providing for imposition, report and payment of tax and exemptions.

Similar Bills

No similar bills found.