PA among the least tax friendly states? (Philadelphia, Pittsburgh: appointed, sales)

[HappyRider]

How does that work? And California is not on the list. To add insult to the injury, we are not that far off New Jersey.

https://money.yahoo.com/best-worst-s...174242597.html

"Pennsylvania – ranked No. 7 on the least-friendly list – has a flat 3.07% income tax rate that seems low. But most of the state’s cities and towns add on their own local income tax, making the Keystone State’s effective income tax rate even higher. The state also has the second-highest state gas tax in the U.S. at 58.7 cents a gallon."

[Blue Shift]

Yup, PA has pretty high taxes. California has a very progressive income tax, so taxes for someone who isn't making bank aren't bad. If you take someone making $40,000 a year, their income taxes in PA (assume 1% local EIT) would be $1,628. In California, assuming only the standard deduction, they'd pay $1,006.

Sales taxes are pretty variable, and depend on how much and what you buy. Neither state taxes groceries, prescriptions, utilities. PA has a few other things they don't tax, like clothes, internet, and gyms.

As far as property taxes, Californians pay a low % of their homes value in taxes, but the houses are so expensive it's quite a bit anyways.

[teachbeach]

Death tax in PA is high as well.

No tax is applied to transfers to a surviving spouse or to a parent from a child under the age of 21. There is a 4.5% tax applied to transfers to direct descendants and other lineal heirs like grandchildren. There is a 12% tax on transfers to siblings and a 15% tax on transfers to any other heir, with the exception of charitable organizations, exempt institutions and government entities that don’t pay tax.

The Pennsylvania estate tax is owed by out-of-state heirs for real property and tangible personal property located in the Keystone State.

[thecoalman]

Originally Posted by Blue Shift

Neither state taxes groceries, prescriptions, utilities.

As far as the energy taxes go on both gasoline and electric there is other factors at play here, gasoline and power are significantly higher in California because of indirect taxes passed onto the consumer and environmental mandates. The direct gasoline tax may be almost the same as here but they pay over $4 per gallon on average, the electric rates are almost 20 cents per kWh. It's not just a little higher, it's lot higher.

[Ohiogirl81]

State and local income and property taxes are out of control. I pay 2.1% to my home city (increased from 1.5% several years ago), plus 1% to the city I work in - for Job #1. For Job #2, I pay the 2.1% home tax and a 2% tax where I work. None of that reciprocates. On top of that are the flat "occupational privilege" tax, per capita tax, and Local Services Tax. And the flat 3.07% state income tax.

Add county, local and school property taxes to that mix, and I'm paying almost 23% of my income in state and local taxes. That doesn't include sales tax and any other incidental taxes.

If you live in Philadelphia, you pay 3.8%-ish (I forget the exact percentage), plus 8% sales tax. If you live elsewhere and work in Philadelphia, you pay around 3.4% in income tax; however, most suburban municipalities will reciprocate their residents who work in Philly.

[tstone]

The real estate transfer tax scared me off buying a house. Not sure if that is just Allegheny county thing or statewide.

Originally Posted by Ohiogirl81

s tax and any other incidental taxes.
If you live in Philadelphia, you pay 3.8%-ish (I forget the exact percentage), plus 8% sales tax. If you live elsewhere and work in Philadelphia, you pay around 3.4% in income tax; however, most suburban municipalities will reciprocate their residents who work in Philly.

Pittsburgh adds an additional 3% income tax on top of the 3.07%... suburbs around it are generally +1%. Having to file separate state income tax & local income tax returns are a pain.

[gmagoo]

Pa. is one of 11 states that doesn`t tax pensions and one of the 7 states that doesn`t tax clothing. There`s no one that`s getting a free ride anywhere.

[trackstar13]

"The House Republican leaders said in a news release Wednesday they are "disappointed and frustrated Gov. Wolf would promote recreational use of a drug classified as a Schedule I narcotic by the federal government." "Our caucus has no plans or interest in legalizing recreational marijuana," Republican leaders said.

https://www.usatoday.com/story/news/...ot/2445903001/

I don't usually get political, but just remember to vote your interests in the next local/state elections and if PA Recreational Marijuana fails and your school taxes go up again this is on the PA Republicans. This would generate significant revenue and if it is used for school funding as most politicians have suggested this could relieve some of the property tax burden for many PA homeowners and hopefully provide a better education for our children.

[Muinteoir]

Originally Posted by trackstar13

"The House Republican leaders said in a news release Wednesday they are "disappointed and frustrated Gov. Wolf would promote recreational use of a drug classified as a Schedule I narcotic by the federal government." "Our caucus has no plans or interest in legalizing recreational marijuana," Republican leaders said.

https://www.usatoday.com/story/news/...ot/2445903001/

I don't usually get political, but just remember to vote your interests in the next local/state elections and if PA Recreational Marijuana fails and your school taxes go up again this is on the PA Republicans. This would generate significant revenue and if it is used for school funding as most politicians have suggested this could relieve some of the property tax burden for many PA homeowners and hopefully provide a better education for our children.

Thank you for pointing this out. Not to mention all the money saved by discontinuing enforcement and prosecution of these senseless drug laws.