State Capitol Roundup
Lawmakers Announce Bill to Create Fairer Climate for PA Businesses
This week, House lawmakers unveiled legislation to create a fairer and more competitive environment for PA businesses. House Bill 2150 would close a tax avoidance practice called the “Delaware Loophole.” Currently, multi-state corporations transfer the ownership of physical assets to an associated company in Delaware to reduce their Pennsylvania tax liabilities. The bill would enable the Commonwealth to reduce the Corporate Net Income tax and gradually transition out the cap on net operating losses throughout the next nine years. The bill would only affect businesses taking advantage of the loophole to avoid paying taxes in Pennsylvania. The revenue gained by closing the loophole would be used to reduce Pennsylvania’s overall business tax burden and give businesses room to add jobs.
Governor to Sign Bill for Occupational Disease for Firefighters
Gov. Tom Corbett is set to sign a measure to designate cancer as an occupational disease for Pennsylvania firefighters. Act 46 of 2011 will permit firefighters to receive workers’ compensation if they develop cancer and can establish the cause to certain carcinogens at fire or hazmat incidents. The firefighter must have four or more years of continuous firefighting duty and successfully passed a cancer-free physical exam prior to performing firefighting duties in order to be eligible for workers’ compensation.