Wolf’s Tax Plan: Three Things Every Family Needs to Know

Here are three things to know about Gov. Wolf’s proposed tax plan:

1. Wolf’s budget calls for a net tax increase of about $1,400 more per family of four this year (with $0 in property tax rebates), and $1,400 next year (a $2,500 increase in state taxes with about $1,100 in property tax rebates).
2. Under Wolf’s plan there will be no property tax “relief” until October 2016, and it won’t prevent future property tax increases.
3. Only 30 cents of every dollar in new state taxes over the next two years would be redistributed to school districts for property tax rebates.

A thorough reader pointed out that our analysis of Gov. Tom Wolf’s proposed tax increases had double-counted tax refunds (the amount the state returns to taxpayers who overpaid).

As a result, we underreported the impact of Wolf’s tax plan. In fact, the net increase for next fiscal year is $1,425 per family of four, slightly more than our previous estimate.