A House subcommittee held a hearing on a so-called “Fair Share Tax” proposal. Democratic lawmakers are offering three potential tax changes that would be aimed at shifting more of the tax burden onto the state’s wealthiest residents and reduce the burden on low and middle income workers. Those options include increasing income taxes on passive income. That includes money from net profits, dividends, net gains derived from rents, royalties, patents, gambling and lottery winnings and net gains derived through estates and trust. The Pennsylvania Chamber of Business and Industry is strongly opposed to the ideas, saying such measures would destroy small businesses by quadrupling their taxes overnight. They also claim the proposed increases would sabotage economic competitiveness.
