HARRISBURG –State Sen. Greg Rothman (R-34) issued the following statement today following the passage of the 2024-2025 state budget:
“This year’s budget encourages greater investment in our Commonwealth and makes Pennsylvania more competitive by addressing two long-standing issues: Eliminating the PA Startup Penalty and enacting needed permitting reform.
“When a business creates jobs, it requires investment, which often means losses. Pennsylvania’s punitive tax treatment of those losses crushes entrepreneurship and discourages businesses from coming to Pennsylvania.
“This year’s budget eliminates the PA Startup Penalty by incrementally, over four years, allowing businesses to carry forward more losses. This important change allows businesses to survive while they work hard to get off the ground, keeping jobs and opportunities in the Commonwealth.
“While there is still work to be done to help businesses who have already made significant investments in Pennsylvania, this improvement is a good start. The budget also continues the phase-down of the Corporate Net Income Tax (CNIT), previously one of the highest in the nation, keeping us on track to competitiveness.
“Another important component of the budget addresses Pennsylvania’s costly permit delays, establishing third-party permit review, accountability for permit review timelines and a transparent permit tracking system.
“These changes, all steps in the right direction, send a message to hardworking Pennsylvanians and job-creators everywhere that Pennsylvania is hungry for opportunity.”
Click here to watch Sen. Rothman’s Senate Floor remarks on the PA Startup Penalty.
Senator Rothman continued:
“My focus for this budget was not only to encourage economic growth, but also to advocate for the needs of my constituents, protect taxpayers, push for fiscal responsibility, support students and families, and keep our communities safe. This budget accomplishes some key objectives in those areas and leaves other areas for ongoing work.”
CONTACT: Morgan Wagner