New Biz Tax Credit Bill Languishes On Governor Corbett’s Desk
By Tony Romeo
PHILADELPHIA (CBS) – Before ending their two-year session this past week, state lawmakers approved a new tax credit for businesses that hire new employees in Pennsylvania. But as the bill sits on Governor Corbett’s desk, its fate is uncertain.
The bill would allow certain businesses that create a minimum number of jobs in Pennsylvania and meet minimum employee compensation requirements to keep 95 percent of the state income tax they withhold from those new workers for up to ten years.
Democrats like Senator John Blake of Lackawanna County panned the idea.
“House Bill 2626 identifies a new beneficiary for job growth: not the Commonwealth of Pennsylvania, but instead a handful of private corporate interests.”
Central Pennsylvania Republican Senator Jake Corman said the proposal is innovative.
“The beauty of this approach is that this not revenue that’s in the state currently. This is new revenue. This is revenue that only gets created if these companies create jobs.”
A spokeswoman for Governor Corbett said he had not yet decided whether to sign the bill.