Pennsylvania Senate approves tax cuts on electricity and school supplies, targets data centers
The amended bill would lower utility costs, add a two-week school-supplies tax holiday and shift $25 million to the Educational Improvement Tax Credit program.
- On Thursday, the Pennsylvania House voted 197-5 to revoke a sales tax exemption for data center equipment, ending a program that began in 2022 to incentivize growth.
- The Computer Data Center Equipment Exemption Program eliminated $41.1 million in state revenue in 2024-25, with projected annual losses reaching $517.2 million by 2030-31.
- Democratic Rep. Kyle Mullins of Lackawanna County highlighted 16 data center proposals in his region, with Archbald alone facing six projects occupying 14% of its footprint.
- Meanwhile, the Pennsylvania Senate sent House Bill 1667 back to the lower chamber, proposing electricity tax cuts and $25 million for the Educational Improvement Tax Credit program.
- Lawmakers face a June 30 budget deadline after state leaders missed the cutoff by 135 days last year, causing employee furloughs and millions in delayed state payments.
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Bill that would provide largest tax cut in PA history passes Senate, moves to House
PENNSYLVANIA (WTAJ) -- The Pennsylvania Senate approved legislation that would dramatically decrease costs for families by cutting taxes on electric bills and school supplies. The legislation, authored by Rep. Paul Takac (D-Centre), would also strengthen the state's Educational Improvement Tax Credit (EITC) program and eliminate the current sales tax exemption for data centers. More specifically, [...]
Electricity 'tax' axe, school choice funding boost delivered to state House
(The Center Square) – Eliminating a de facto “electricity tax” and boosting funding for school choice programs share space in one legislative proposal handed back to Pennsylvania's House of Representatives late Thursday afternoon.
House votes to revoke tax break for data center industry
(The Center Square) - The state House on Thursday gave bipartisan approval to revoking a sales tax exemption for equipment for data centers, with one supporter equating the industry frenzy in Pennsylvania to an irresponsible and speculative "gold rush."
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