Statement: Loophole Bill a First Step, More to Do

HARRISBURG, PA (January 25, 2012) — Pennsylvania Budget and Policy Center Director Sharon Ward issued the following statement on legislation unveiled today by Representatives Dave Reed and Eugene DePasquale to address the problem of corporate tax loopholes:

“This bill takes an important first step towards closing corporate tax loopholes that don’t create jobs but drain needed resources from good schools and infrastructure. It also recognizes that tax cuts should be paid for.

“The bill takes a limited approach and leaves many loopholes open for companies to exploit. The bill should be strengthened to ensure that big profitable corporations cannot use other artificial means to shift profits out of state and dodge taxes.

“Pennsylvania businesses are at a competitive disadvantage when multistate corporations are able to game the tax system. This bill takes a step toward leveling the playing field for all businesses in the commonwealth.”