Press Releases

For Immediate Release
February 29, 2024

For more information, contact
Michael Plummer, Email | 717-720-5569

PA Chamber Opposes Plan to Raise Taxes on Small Businesses

HARRISBURG – Today, Pennsylvania Chamber of Business and Industry Director of Public Affairs Michael Plummer issued the below statement on a planned hearing of the House Finance Subcommittee on Tax Modernization and Reform to discuss raising small business taxes from 3.07 percent to 12 percent:

“The proposal that House Democrats are scheduled to consider tomorrow would destroy small businesses across the Commonwealth by quadrupling their taxes overnight. House Bill 1773 would sabotage our economic competitiveness and undermine bipartisan efforts to attract and retain businesses in Pennsylvania.

“This bill would raise taxes by nearly 300 percent on almost 180,000 small businesses, which collectively employ more than 2.2 million people. Even holding a hearing on this bill sends a chilling message to anyone looking to grow or start a business here.

“Employers are moving out of our state in droves, and they are taking good-paying jobs with them. Last year, Pennsylvania had the fourth-highest number of residents leaving for other states, and we hold the unfortunate distinction of having the lowest rate of new entrepreneurs in the country. Economic factors are a big reason why, and proposals like this to raise taxes on hardworking Pennsylvanians will only worsen these trends.

“Imposing a four-fold tax increase on small businesses would accelerate this mass exodus of businesses and workers from our state. Especially at a time when employers are still struggling with inflation, workforce shortages, and supply chain disruptions, this proposal is tragically shortsighted.

“Instead of entertaining proposals that would lead us to economic ruin, lawmakers should prioritize policies that support small business growth and foster a more competitive business environment.”


The Pennsylvania Chamber of Business and Industry is the state’s largest broad-based business association, with its statewide membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of BusinessTM.