Friday, August 30, 2013

A Tax By Any Other Name

In honor of Property Taxes being due, or something like that, there's been a House Bill that's been festering in uselessness. You may have heard of it: it's House Bill 76, designed to completely dispose of School Board-level property tax and retool education taxes via state level.

As of right now, removing property taxes would mean an increase to sales tax from 6 percent to 7; it would be placed on everything and wouldn't exclude clothing and food, and an increase on the personal income tax from 3.07 percent to 4.34. So, under this bill, you would pay seven cents on buying your dollar fries at McDonald's, but that seven cents goes to education and not whatever back pocket at the state assembly.

Are there critics to this bill? Of course! Look no further than the Methacton School Board. Well, I mean, that's a duh right there: this bill would remove their power to tax--the only real authority a school board has. But since the Board loves to raise taxes every year, this would be a nice break to the Senior citizens, in-trouble homeowners, and others who just don't like paying a school tax. The other benefit is that everyone would be paying towards education, not just homeowners. Section 8, welfare, renters, illegal immigrants--they all get to pay for education that they, no doubt, use for their own children.

Another little snag to the bill is the possibility of a deficit from the funding model. However, the State determines funding for each school district, and I think you know as well as I do, in that the State will make each district jump through hoops before getting more money.

However, there's a new bill being introduced, if you read today's The Times Herald, House Bill 1189, dubbed the Optional Property Tax Elimination Act. Which, as the name implies, means that school districts could eliminate Property Taxes if they so choose.

What a joke. You honestly think a school board like Methacton--or any other of the 501 in the Commonwealth--would eliminate property taxes? If you do, boy, do I have a bridge in Brooklyn for you!

Of course that would result in a fat load of nothing. To take taxation powers away, they have to be removed. Rarely are they ever given up, and I know for a fact that MSD would never remove their taxation powers. Worcester might allow lights on the football field first.

I fully support House Bill 76. However, House Bill 1189 is going to stall any help on real property tax reform. And our districts elected official is on the fence as well, making a comment in The Times Herald: "I'll support any property tax bill as long as it's effective." That's great and all, but that doesn't help passing said bill. The support for property tax reform is going to come in three groups: for Bill 76, for Bill 1189, or those who refuse to choose. So hopefully this isn't dead in the water. Yet.

It doesn't have to stop here. Contact Mike Vereb and tell him you support House Bill 76 (if you do, of course), or if you're rep is Matthew Bradford, contact him. The bill is also in the Senate, so give John Rafferty a piece of your mind. Remember, if you vote, you have a voice. They work for us.

2 comments:

  1. Sorry dude. As little as I trust the school board, I trust Harrisburg much much much less with handling/distributing the money to the school districts.

    Formula driven our not, that money would soon wind up in some central PA power enclave.

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  2. Any reduction in property tax is a good thing. Even better that it's going into tangible things like 'education' instead of the 'phantom' of 'budget' that government will spend on 'services'. People work hard to pay their taxes, so they should get to taste the benefits a.s.a.p.

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