In Pennsylvania, higher taxes equals fewer jobs

Abhilash Samuel For The Tribune-Democrat
— Pennsylvania’s latest budget shortfall is the result of a pattern in which state legislators abandon fiscal prudence in “good years” and face spending cuts or tax hikes in down times. Indeed, Gov. Ed Rendell has proposed massive spending increases with each of his budgets, usually requiring new or higher taxes. This year he is pushing for combined reporting to close “tax loopholes” for businesses, taxing cigars and smokeless tobacco, a new tax on natural gas, and expanding the Sales and Use Tax.Combined reporting is not a new idea in the commonwealth, having been discussed in one form or another since 2003. It treats companies and their subsidiaries as a single entity for the purpose of determining taxable income, regardless if they have operations in Pennsylvania.....MORE