Gov. Tom Wolf touts property tax relief in his new budget, but fails to mention taxpayers are going to pay more—a lot more—in higher state taxes. Over the next two years, less than $0.30 of every dollar in new state taxes will be used for property tax rebates.
Indeed, Gov. Wolf’s budget offers no property tax relief next fiscal year (2015-16) while increasing state taxes by $4.5 billion—$1,425 per family of four in Pennsylvania.
The following year (2016-17), Wolf calls for $8 billion in state tax increases and $3.7 billion in property tax rebates. This still represents a net tax increase of nearly $1,400 per family of four.
|Proposed Tax Changes in Gov. Wolf’s Budget (Totals in Thousands)|
|2015-16||2016-17||Two Year Total|
|Total State Tax Increases||$4,554,600||$8,053,000||$12,607,600|
|Property Tax Rebates||$0||($3,666,000)||($3,666,000)|
|State Tax Increases Less Property Tax Relief||$4,554,600||$4,387,000||$8,941,600|
|Net Tax Increase Per Family of Four||$1,424.73||$1,372.31||$2,797.04|
Editor’s Note: This chart and post have been updated. A previous version counted tax refunds as a result of proposed changes twice and did not include the proposed expansion of the Tax Forgiveness Program.