Gov. Rendell on Friday's Radio Smart Talk

Thursday, 11 February 2010 17:47

Gov. Rendell on Friday's Radio Smart Talk

Written by Scott LaMar, Director of Radio Smart Talk

Rendell proposed reducing the state's sales tax from 6% to 4% but taxing 74 items that are now exempt from sales tax. Among the exempt items the governor wants to tax are candy and gum, smokeless tobacco, coal, firewood, magazines, newspapers, fish feed, cigars, wrapping and packing supplies, helicopters, investment metal bullion and airline catering.

Rendell said the additional revenue generated from the change would go toward transitioning from federal stimulus funds that will no longer be allocated to the state in 2011-2012 and a projected $5.6 billion increase in contributions for public employee and teacher pensions in 2012-2013.

Republican State Senate leaders indicated the sales tax change was "dead-on-arrival" and said the governor should be more concerned with how to deal with the state's shaky fiscal condition today and not a few years down the road.

Gov. Ed Rendell will appear on Friday's Radio Smart Talk to discuss the sales tax proposal and other aspects of his budget plan.

Also appearing to provide analysis of the overall spending proposal will be Scott Detrow, WITF's State Capitol correspondent and John Micek, who covers the Capitol for the Allentown Morning Call.

WHAT DO YOU THINK...of Rendell's sales tax proposal? Take the poll (upper right) and leave your comments below.

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