New year brings hikes in some taxes and fees in Pennsylvania
PITTSBURGH (KDKA) — When the New Year starts on Sunday, expect some changes in Pennsylvania's taxes and fees.
KDKA-TV money editor Jon Delano gives us the breakdown.
Happy New Year! You know what that means – increases in some but certainly not all of our taxes and fees in Pennsylvania.
On the good news front, the state's flat personal income tax of 3.07 percent is not going up. However, neighboring New York and 10 other states are cutting their income tax, but Pennsylvania is not.
Pennsylvania is cutting the corporate business net income tax of 9.99 percent, one of the nation's highest. It will drop to 8.99 percent in the New Year.
The state's gasoline tax is going up from 57.6 cents per gallon to 61.1 cents. With federal taxes, Pennsylvanians now pay over 79 cents in taxes on every gallon we buy. Ohio's tax is just half that.
Driving to grandma's house on the Pennsylvania Turnpike will jump 5 percent on Jan. 8. Get an EZpass because it saves you 60 percent of the full toll price paid by toll-by-plate drivers.
Pennsylvania is also raising fees for fun stuff, too, at least in some areas. The fishing license rises from $21 to $23.50, and a certificate of title to own a boat jumps from $15 to $58.
On a positive note, no change in the hunting license, and a new law makes it easier for hunters to purchase the additional antlerless deer license online next year.
During the campaign, incoming Governor Josh Shapiro promised some tax changes. He wants a $250 gas tax rebate for every vehicle up to four that a person owns.
He wants to eliminate the 11 percent state cell phone tax, and He wants to expand the property tax rebate program to more people.
He also wants to make the state business-friendly by reducing the corporate net income tax to 4 percent by 2025.