- Associated Press - Wednesday, July 13, 2016

HARRISBURG, Pa. (AP) - Highlights of an estimated $1.3 billion tax and revenue package scheduled for votes Wednesday in the Pennsylvania Legislature for the 2016-17 budget year that started July 1:


CIGARETTES: Increases the per-pack excise tax on cigarettes by $1 to $2.60 to generate $430 million.

LOAN: Borrows $200 million from a surplus in a state medical malpractice insurance fund, to be paid by over a five-year period starting July 1, 2018.

WINE AND LIQUOR: Projects a month-old law liberalizing the sale of wine and liquor will generate $149 million.

TAX DELINQUENTS: Allows tax delinquents to pay back taxes without penalty to generate $100 million.

CASINO GAMBLING EXPANSION: Assumes $100 million from gambling legislation that is on hold until the fall, primarily from licensing fees for legalizing internet gambling.

PHILADELPHIA CASINO: Books $75 million in expected license fees from Philadelphia casino that was awarded a license in 2014.

SALES TAX DISCOUNT: Lowers the amount of sales tax collections that retailers may keep to generate $55 million.

TOBACCO: Imposes a 55-cents-per-ounce tax on roll-your-own tobacco and smokeless tobacco to generate about $50 million.

DIGITAL DOWNLOADS: Eliminates an exemption from the state’s 6 percent sales tax on the download of digital videos, books, games, music and applications to generate $47 million.

BANKS: Raises rate of shares tax on bank and trust companies to 0.95 percent, from 0.89 percent, to generate $23 million.

TABLE GAMES: Imposes a new 2 percent tax on casinos’ gross revenue from table games to generate $17 million.

INCOME TAX: Extends 3.07 percent state income tax to Pennsylvania Lottery winnings to generate $16 million.

ELECTRONIC CIGARETTES: Imposes a 40 percent tax on the wholesale price of electronic cigarettes, including vapor producing devices and liquid cartridges, to generate $13 million.


Source: Pennsylvania House of Representatives

Copyright © 2018 The Washington Times, LLC.

The Washington Times Comment Policy

The Washington Times is switching its third-party commenting system from Disqus to Spot.IM. You will need to either create an account with Spot.im or if you wish to use your Disqus account look under the Conversation for the link "Have a Disqus Account?". Please read our Comment Policy before commenting.


Click to Read More and View Comments

Click to Hide