Pennsylvania sales tax could become 2nd highest in nation

Written by The Associated Press | Nov 10, 2015 4:15 PM
Harrisburg capitol 600x340.jpg

Photo by David Wilson/ via Flickr Creative Commons

(Harrisburg) -- Pennsylvania's natural gas industry has again fended off a severance tax for another year, while a potential deal to end a budget stalemate now in its fifth month would make Pennsylvania's sales tax the nation's second-highest.

Gov. Tom Wolf's spokesman Jeff Sheridan said Tuesday that the first-term Democrat's top priority had been a record increase in education funding. He says an agreement by top Republican lawmakers on that point was enough, while Republicans opposed Wolf's demand for a severance tax on Marcellus Shale production.

Sheridan says Wolf hasn't dropped his pursuit of a Marcellus Shale tax for future budgets.

Meanwhile, under the proposed agreement Pennsylvania's sales tax would rise to 7.25 percent, up from 6 percent. California's is 7.5 percent. The money would go toward property tax cuts.

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