Harrisburg – (April 26, 2018) Legislation introduced by Sen. Michele Brooks to ensure that Pennsylvania businesses and farmers can take advantage of the economic growth occurring as a result of federal tax changes passed the Senate by a vote of 42 to 7 on Tuesday.
“Without this legislation, Pennsylvania farmers and businesses would be operating at a distinct competitive disadvantage and would not benefit from federal tax changes when they buy equipment, like other farmers and businesses across the nation,” Brooks said. “With this bill, farmers and other businesses can purchase much-needed equipment, such as combines, purchased dairy and breeding livestock, grain silos, CNC machining equipment used in high-tech manufacturing, or exploration and drilling equipment used in the natural gas industry, so they can invest in their future and depreciate those capital investments, helping to spur economic growth in our local communities.”
Brooks’ Senate Bill 1056 reverses the provisions of a controversial state tax bulletin governing Pennsylvania’s treatment of federal tax changes. The legislation will allow Pennsylvania businesses to take advantage of the opportunities given to them at the national level to expand and grow, after the enactment of federal tax reform.
“Not allowing this depreciation benefit would be like the federal government allowing taxpayers to take a child care tax credit, but Pennsylvania requiring that amount to be added back to taxable income,” Brooks said. “Pennsylvania should not be taking away a benefit that every other state is offering.”
The bill will now be referred to the House for its consideration.
Contact: Diane McNaughton email@example.com 717-787-1322