PA Chamber Holds Firm on No Tax Increase on Business


HARRISBURG, Pa., Oct. 1, 2003 (PRIMEZONE) -- Signs that Pennsylvania could be pulling out of a two-year nationwide economic slump reinforce the need for policies that will foster, not stifle, sustained economic growth.

For the second-consecutive month, the state saw higher-than-expected General Fund revenue collections, including September corporate tax revenues that were $38.3 million above estimate. Additionally, year-to-date corporation tax collections were 5 percent above estimate, for a total of $530 million, according to the Department of Revenue.

"Pennsylvania appears to be getting stronger; unemployment is down and corporate revenue collections are up," said Maura Donley, Vice President of the Pennsylvania Chamber. "Combine those two things with a business community that expects to see its sales grow in the next 12 months and expects to make limited investments in their businesses and you've got an economy that appears to be on the rebound."

Donley cautions, however, that this is not the time to increase business taxes.

"Such a move would be regressive," Donley said.

The PA Chamber recently released its 2003 Economic Survey, which revealed overwhelming support for the Chamber's efforts to reduce business taxes in the Commonwealth.

According to the survey, 72 percent of Chamber member businesses surveyed said that Pennsylvania's business tax burden was higher than that of other states. Taxes also were cited as the No. 1 issue that would drive business out of the state.

"The results of the economic survey show that our members support the work we are doing to make Pennsylvania more business friendly, and thereby more conducive to job creation," Donley said. "With good news again on state revenue collections, it's difficult to justify the need for a tax increase on business. The Pennsylvania Chamber will continue work to ensure that taxes on business are not increased, and are ultimately brought in line with other states."

The Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association and the fastest growing state chamber in the United States, with more than 10,000 members covering all 67 counties.

The PA Chamber of Business and Industry logo is available at: http://media.primezone.com/prs/single/?pkgid=353



            

Contact Data