Petrarca: Measure to exempt Pennsylvanians from paying state, local taxes on COVID-19 aid passes House

HARRISBURG, May 4 – A bill to exempt federal pandemic cash payments from state and local taxes has passed in the Pennsylvania House of Representatives, state Rep. Joseph Petrarca, D-Westmoreland/Armstrong/Indiana, announced today.

House Bill 2408 would ensure that those who received those funds as part of the federal CARES Act would not be required to pay state and local taxes on them, Petrarca said. The funds are already exempt from federal taxation, he added.

“Residents and businesses in my district are hurting, and it’s not fair to ask them to pay state and local taxes on funds to help them through this pandemic,” Petrarca said. “These are emergency funds they need to stay afloat, to pay for groceries, to keep the power on – not for the state or local taxation authorities to consider as income. That’s why I voted in favor of House Bill 2408.”

The CARES Act, which passed last month in Congress and was signed into law, included a provision to provide cash payments to individuals making less than $99,000 per year and couples making less than $198,000 annually.

The House bill, which has companion legislation in the state Senate, now heads to the Senate for further consideration.