IWLA Opposes Pennsylvania’s New Warehouse Services Tax Increase

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The Governor of Pennsylvania has proposed an end to the sales and use tax exemption on warehouse services as part of his 2017-2018 budget proposal. This unleashed 6 percent tax will put Pennsylvania warehouse companies at a disadvantage because competitors in neighboring states will service customers at a lower price point.

Pennsylvania’s 6 percent tax increase in transport and storage costs will not reap the governor’s anticipated revenue: A study conducted for IWLA in 2007 by Michigan State University demonstrates the flight of jobs and taxes that result from a tax on warehousing.

IWLA is sending letters to the Governor of Pennsylvania and the state legislators to express concern with this change and provide insight into how this will adversely affect the state by driving warehouses to neighboring states. Read the letter.

 

 

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