Property Tax Independence Act
SB 76, the Property Tax Independence Act, is designed to eliminate school property taxes. It does not impact the county, township/borough property taxes assessed each spring. The elimination of school property taxes would occur over time since property taxes will still be assessed to cover existing debt obligations. The debt obligation, and thus the tax elimination, varies from district to district.
Changes under SB 76:
- Personal Income Tax (PIT) increases by 1.88%, from 3.07% to 4.95%
- Sales tax increases by 1%, from 6% to 7%
- Sales tax expands to cover more items
This calculator will help you to see how the changes made by SB 76 will affect your household's finances. Click on the question mark icons (?) for more information.
Property tax rate based on Northwestern Lehigh School District.
For more information:
Property Tax Independence Act Explained (source: Senator Argall)
Click here to read the last iteration of the bill from November 2015. (source: PASBO)
Property Tax Elimination Legislation (source: PASA) 1.20.17
Property Tax Elimination doesn't work for taxpayers or schools (source: PSBA) 1.17
Click here for a list of implications of eliminating property taxes. (source: PASBO)
Click here for a one-pager for parents. (source: PASBO)
Click here for a one-page for taxpayers. (source: PASBO)
Joint Letter on Property Tax Elimination (source: PSEA, PSBA, PASA, and PASBO) 1.25.17
Debt Service by school district (source: PSBA)