Turning the key to property tax elimination
‘Tis the season – property tax season that is. Just recently, I sat down and wrote out a check for almost $3,800, which is about average in Pennsylvania, to pay my local school property tax, so I can continue living in the home I recently paid off. It seems everywhere I go all my discussions lead back to property taxes.
As the price of everyday essentials continues to rise, more people are struggling to pay bills. When the big one comes in the mail each fall, it puts many in a downward spiral. Over 5,000 people lose their homes every year because they are unable to pay their school property tax bill. That figure doesn’t include the houses that are sold in anticipation of the inability to pay.
Schools must be adequately funded. In fact, government is constitutionally obligated to fund public schools from kindergarten through twelfth grade. However, the way the funding model is currently structured is unsustainable for both schools and the Pennsylvanians whose tax dollars fund them. Something must change.
I believe the solution is Pennsylvania House Bill 1649 and Senate Bill 962. That is why Sen. Dawn Keefer (R-Cumberland/York) and I, along with former Rep. Frank Ryan of Lebanon County, are traveling across the Commonwealth to talk to Pennsylvanians about our legislation to eliminate school property taxes.
As we talk to Pennsylvanians in all four corners of this state, we’re explaining our proposals and how they relate to school funding, as well as discussing issues with our current funding system and how we can support our schools in a way that doesn’t force people out of their homes.
Pennsylvania is on the precipice of financial destruction. In just a few years our state’s reserve and surplus accounts will be empty. To put it plainly, the state will be bankrupt. When that happens, where will the General Assembly and governor turn to cover Pennsylvania’s bills? This mistake will be paid for using the dollars and cents from your pockets.
I’m afraid we’re reaching the point of no return. If we don’t turn this financial ship around, we will see massive tax increases levied to cover the government’s overspending and property taxes will never be a thing of the past.
Most Pennsylvanians will save money under our proposals. You can find out how your tax bill could be affected by using www.noprop.tax/the-plan/estimate-taxes. Most people will also save immediately. Those who won’t, will likely end up saving in a few years as a result of property taxes increasing over time. As school property taxes increase, the savings will too.
If this is a topic that interests you and your neighbors, please consider reaching out to my office to schedule a town hall in your community. You can also visit www.repwendyfink.com/pteth to check out our already scheduled meetings. We are working hard to spread the word about our bills and drive that momentum to the chambers of the General Assembly. Call my office at 717-783-6426 to set up a property tax elimination town hall. Government must listen and act on key policies our constituents deserve.
Wendy Fink represents the 94th district in the Pennsylvania House of Representatives.
Residential property tax elimination has long been needed, it is foundational for Pennsylvania’s economic future, but I am concerned about some ancillary issues. (1) Will this elimination be extended to manufacturing properties, to charitable entities such a hospital, private school and educational institutions? (2) Public utilities, gas, electric solar, wind, water systems and sewer systems? (3) retail entities such as malls, resorts. casinos? School taxes are the main driver for elimination, but local government and county government rely on property taxes. Will they be eliminated? I am unclear about the impact on the taxpayer overall. If local governments no longer have property tax, they will need to find other sources of revenue such as the old timey wealth taxes on investments and bank deposits. Finally, I am still unclear if property tax elimination with the concurrent rise in income and sales taxes will be neutral or positive for a taxpayer, especially those with low value properties or who have various property tax relief programs in place. I hope the complications get worked out and, most importantly, does not get caught in the politics of the Metro areas (you know who you are).
While I think that there is a place for property taxes, I think that the legislature should consider the following. Freeze the property tax for any owner(s) of a property who become 65 years old and where they have been owners for at least five years. No more increase for the owner(s) of that property. Once the property is sold, the new owner (regardless of age) gets a notice of the amount of property tax that will be levied at the time of the sale and then is subject to any and all increases until that new owner hits 65 and then it freezes at that amount until the property switches hands again. This way senior citizens can budget for their taxes and the as new younger owners move into an area they shoulder a more appropriate share of the tax burden.
This could get complicated. Seniors who are over 65 and purchase a new property (such as a retirement home) should then not be subject to the taxes would otherwise be levied nor any increases thereafter. If that happens, there would be an accumulation of taxes due over time. creating a significant obligation on future purchasers. Clean and Green is similar, taxes on CandG property are deferred until sold when they become due and payable. This can be significant and was meant to be so that the property in the program would be uneconomical for developers to purchase.
If somehow the property taxes are reduced or done away with another tax will have to take it’s place. Just where is all the money that was supposed to be generated by the state lottery? How about the real estate transfer tax? County taxes? If you live in one, a borough tax? Homeowner’s insurance premiums have increased in recent years. And what will happen to the utility bills since shapiro signed on to that Reggie program? shapiro is chomping at the bit to increase the sales and wage taxes. And the real shame is that with all of these increase in taxes the state government spending outdoes the increases.
This looks to me as a back door way to tax gains on retirement investments which is now tax exempt in PA. I believe PA has the second highest number of retirees in the country and ranks between 6th and 10th best state to retire.
If this were to pass, the difficulty for seniors tax preparation would be huge, as they would have to calculate the gains on their retirement assets every year. This is particularly difficult, since it has never been required and many people have no way to go back and calculate their basis information.
This will just drive more seniors to Florida. Is that what we want?
Are the references to the bills accurate? I did a search, and the subjects of those bills had to do with crime. That might have been some outdated information. In any case, it would be good if you gave us at least an outline of the proposals. Links to the bills would help as well. Thanks.
https://www.palegis.us/legislation/bills/2025/hb1649 and https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&body=S&type=B&bn=962
$3800??? Hold my beer!
I live in Jenkintown in a 1300 square foot home on less than a quarter acre. We paid over $8000 last year. In the past two years, the school district raised our taxes by 10%.
To give you some idea of of the shit show we are enduring, please follow the link I’m leaving in your form.
I’d beg you to swing out this way, but I know the politics of this area will be about as hostile to you as it gets.
Thank you, Representative Fink, for raising this critical issue. I agree that property taxes are crushing too many families in Pennsylvania. But one thing I don’t see mentioned enough is why our taxes are so high: our school districts are spending taxpayer money like it’s an endless ATM.
Instead of maintaining and making the most of existing buildings, too many districts push for “super schools” and expensive new facilities, driving costs higher and higher. Meanwhile, the teachers’ unions continue demanding more without regard to long-term sustainability. Homeowners are the ones left holding the bag.
This is the heart of the problem — until we rein in how schools are funded and require districts to be fiscally responsible, property taxes will keep spiraling out of control.
That’s why I believe Representative Fink’s effort to eliminate school property taxes is so important. Delaware County especially needs this conversation.
totally agree – school districts and the (usually) union-friendly folks that make up their school boards need to cut spending before asking for more every year. Too many times that additional money goes to staff more administrative or faculty positions, thus funding more union dues. Rarely does it seem to trickle to meet actual students or classroom needs (why, after paying the equivalent of over $24K per student in my school district, are we still asked to provide basic school supplies, tissues and other toiletries for each classroom??). My district is also on a tear to constantly build new buildings that were just renovated or replaced in recent memory. At a minimum property taxes need to be frozen or reduced when homeowners reach age 65 or perhaps when they can show they’ve retired if at a younger or older age. But yes, good questions are also what other taxes might be implemented or raised to replace the lost property tax income and is that a net benefit for most people or not?