The new tax plan could impact your money. While the plan puts more money in the hands of businesses, some people question if the proposal would hurt individuals.
With a new tax plan on the table, some people are saying it’s all about perspective. Jake Rouch, of the Economic Development Division, says, “there’s never a tax reform in which someone doesn’t get pinched.” He says the plan could hit each region differently and it’s too early to tell exactly how it would impact Erie taxpayers, but he says, like any reform, some groups come out winners and others; not so much. “Some will say this is good and fair. Others will say it looks like the wealthiest people in the country at the expense of the poor people in the country.”
And while there are still a lot of questions, changes could impact individuals. Experts say the changes could be beneficial for businesses. Accountant Dennis Grow tells us, “when they have extra cash in their businesses, they business… they hire more people, they expand their businesses, they buy new equipment; they do a lot of good things which basically helps everybody.” Grow says the idea behind a more trickle-down model tax system will not only help the local economy, but it also works as a motivator which he says is a positive change of pace. “If I said to you, ‘we’re raising taxes by 10 percent on this type of income, well that gives you an incentive to not have that type of income.” And he says in 2017, people are ready for a new perspective.
Senator Pat Toomey’s office sent a statement saying he supports the tax reform bill, adding that it will put more money in the pockets of hard-working, middle-income Pennsylvanians. But, Senator Bob Casey disagrees, saying the plan would boost the wealthy at the expense of the middle class.