Burns co-sponsors legislation to put money in taxpayers’ pockets

Proposed legislation would exempt stimulus checks from local, state taxes

Pennsylvania House Democratic Caucus    April 13, 2020 | 12:53 PM

EBENSBURG, April 13 – Believing the state should be helping and not hurting folks affected by the coronavirus crisis, state Rep. Frank Burns is supporting proposed legislation that would keep state and local governments out of people’s pockets by prohibiting the state and local taxation of federal stimulus checks.

“At a time when so many people are hurting and every dollar counts, it boggles my mind that federal stimulus checks would be subject to state and local taxation,” Burns said. “This money is critical to help families support themselves through this crisis and I will not allow a bureaucrat to dip their hands even further into our families’ pockets. It’s time for the state to the right thing – and exempt these payments from taxes.”

In response to the COVID-19 pandemic, Congress took swift action to adopt the CARES Act to help people and businesses stay afloat. Included in that coronavirus response were provisions to provide much-needed cash payments to people making less than $99,000 and couples making less than $198,000.
 
While these dollars are exempt from federal taxes, it is up to Pennsylvania to decide whether they are subject to tax under state law. A companion bill, S.B. 1104, has been introduced in the Pennsylvania Senate.