David K. Levdansky (Democrat) Allegheny County Washington County Occupation: State Representative Education: Elizabeth-Forward High School, 1973; Pennsylvania State University, B.A., Politcal Science, 1977; Pennsylvania State University, B.A., Labor Studies, 1978; University of Notre Dame, M.A., Economics, 1980 Member of the House: 1985 to date Standing Committee Assignments: • Environmental Resources and Energy • Finance (Chairman) Personal History: Married to Mary Contact Information: Hon. David K. Levdansky 122 Second Ave. Elizabeth, PA 15037 (412) 384-2258 Fax: (412) 382-2023 Hon. David K. Levdansky 301 Irvis Office Bldg. Harrisburg, PA 17120 (717) 783-1020 Fax: (717) 783-1193

Tax Cuts Offer Affordable Way to Promote Job Growth Rep. David Levdansky By: State Rep. David Levdansky (D-Allegheny/Washington) I was joined by House Democratic leaders Bill DeWeese and Mike Veon this week as we unveiled legislation that would help promote business in Pennsylvania through a series of fiscally responsible tax cuts. The tax cuts we are proposing offer a responsible approach to promoting business in Pennsylvania. The changes will foster the growth of small, high-tech businesses in their most vulnerable stage, which is during start-up. This proposal is reasonable, stays within the means of our budget, and it will keep businesses and decent-paying jobs in our state. The tax cuts include: Expansion of the Net Operating Loss deduction cap to $3 million from $2 million; Acceleration of the scheduled Capital Stock and Franchise Tax phase-out by 0.1 mill beyond what is already prescribed in statute to 4.89 mills; Increasing the research and development tax credit to $40 million from $30 million; and Gradually shifting the weighting of the Corporate Net Income tax away from property and payroll and toward sales, which would benefit Pennsylvania-based job providers such as Hershey, USX, Heinz, Tasty Baking Co., Aventis-Pasteur, Air Products, Merck and Wyeth. This change also would reward employers that locate or expand production in the state. In addition to changes already in law, the overall cost to the Commonwealth, and savings to state businesses, of these proposed tax changes in fiscal year 2006-07 would be $45.7 million. The breakdown would be as follows: NOL cap expansion, $7.3 million; CSFT accelerated phase-out, $18.3 million; R&D tax credit increase, $10 million; single-sales factor shift, $10.1 million. We believe this fiscally responsible investment and spending plan for our business community will serve as the necessary catalyst to make this state even more competitive with neighboring states and in the global economy. The proposed legislation is designed to promote job creation by aiding employers in high-growth sectors while leveling the playing field for small businesses competing with out-of-state corporations. Businesses this year could expect a $225 million tax cut thanks to this proposal and the $180 million break from the current Capital Stock and Franchise Tax phase-out. This package of cuts, combined with Governor Ed Rendell's stimulus package that is showing good results throughout the state, will allow us to keep growing our economy and adding new jobs. This is our vision for the coming year, and we will fight hard at the negotiating table for its inclusion in the final budget. The tax cuts reflect similar proposals that were outlined in a 2004 report by the 12-member, bipartisan Business Tax Reform Commission. This proposal is necessary to make Pennsylvania a competitive force in the marketplace. This is a fair, balanced and measured approach, and I look forward to working with my colleagues to make it law. ### CapNews Guest Speaker: Archives Back to CapNews