PA Dems Propose Bill to Add Severance Tax On Top of Impact Fee

You gotta hand it to Pennsylvania Democrats. They LOVE LOVE LOVE to tax other people's money—especially companies and industries that they hate, like the state's oil and gas industry. On July 8, PA State Senator Art Haywood (Democrat from Philadelphia) introduced PA Senate Bill (SB) 910, which slaps a 6.5% severance tax on the gross production of all oil and natural gas produced in the state. However, the bill goes further by repealing the provision in the 2012 Act 13 law that states that if a severance tax is ever implemented, the existing impact fee would be eliminated. In other words, Haywood's bill eliminates the provision to end the impact fee, meaning the impact fee would remain in place. So, drillers would be taxed twice for the same thing. Fortunately, the bill is DOA in the Senate.

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