HARRISBURG, Pa. (WHTM) – Gov. Tom Wolf has signed legislation that exempts active duty military personnel from having to pay a local earned income tax.
The new law takes effect immediately and is applicable to earned income taxes levied and collected after Dec. 31, 2015.
The bill was authored by Rep. Rob Kauffman (R-Franklin), who said his measure exempts active duty pay earned inside and outside of Pennsylvania from the earned income tax.
He said active duty pay used to be exempt from the tax, but was inadvertently changed under a 2008 law that altered the definition of “earned income.”Get breaking news, weather and traffic on the go. Download the ABC 27 News App and the ABC 27 Weather App for your phone or tablet.