Bill would allow school boards to ax property tax

By Peter Jackson

Associated Press

Published: Wednesday, Oct. 2 2013 12:00 a.m. MDT

Sen. Pat Jones is preparing a bill that would raise $400 million in new funding for schools by eliminating income tax exemptions for dependents.

Tom Smart, Deseret News

Enlarge photo»

HARRISBURG, Pa. — A bill that would empower local school boards to reduce or eliminate school property taxes and to make up the revenue from other tax increases is awaiting a final House vote.

The bill, which received strong bipartisan support without debate Tuesday night, could be sent to the Senate as early as Wednesday.

The proposal sponsored by Rep. Seth Grove would allow school boards to impose an "elimination tax," consisting of an earned-income, a business privilege tax or both, to raise the revenue necessary to offset the reduction or elimination of the property tax.

The York County Republican's bill would require school boards to hold at least one public hearing on such proposals, but no taxpayer referendum would be required.

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