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2015/16 State Budget Finally Wraps, 2016/17 Budget on Deck

5/16/2016

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The 2015/16 State Budget received its final tacit approval in April 2016, nine months after the start of the fiscal year. Much like he did for the budget itself, Governor Wolf allowed the fiscal code, which mechanizes many of the budgetary spending items, to pass by refusing to sign it within ten days. By doing so, the budget and fiscal code were officially adopted into law.


The Governor instead chose to focus his efforts on the 2016/17 fiscal year budget, which will face even greater challenges. No legislature in recent memory has agreed to approve a broad-based tax increase in an election year, but that doesn’t mean that retailers can rest. House and Senate Republican leadership have indicated a willingness to raise tobacco taxes to appease the Governor in an effort to avoid another long standoff. PFMA members are encouraged to remain vigilant and advocate with their legislators to keep tobacco, OTP and E-cigarette taxes as well as the elimination or capping of the sales tax vendors allowance off of the table.
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