As the details of Gov. Tom Wolf’s revised revenue plan were made public Tuesday, Republicans—even some moderates who could potentially be in favor of some broad-based revenue increases—were still skeptical.
The new revenue plan, which is embodied in an amendment sponsored by House Appropriations Committee Minority Chairman Joe Markosek (D-Allegheny) to House Bill 283, proposes to raise $3.6 billion over the next two fiscal years by relying heavily on increasing the personal income tax to 3.57 percent and placing a 3.5 percent tax on natural gas extraction.
The proposal would also increase the property tax forgiveness provision costing $195 million over two years while also making a transfer of $5 million to the Property Tax and Rent Rebate Program in FY 2016-2017.
According to House Democrats and the Wolf administration, the expanded Property Tax and Rent Rebate Program will provide $400 million in new property tax relief to seniors, the disabled, and veterans beginning in FY 2017-2018, resulting in the elimination of property taxes for 331,317 households, including over 247,000 new eliminations.