Grove Applauds House Passage of Timber Tax Relief Bill
11/22/2013
HARRISBURG – This week, the House passed legislation that would exempt Pennsylvania’s timber harvesters from state Sales and Use Tax. House Bill 1138, co-sponsored by Rep. Seth Grove (R-Dover) is potentially a big winner for York County. A 2011 U.S. Census Bureau report showed forest-related products employed more than 3,900 people at 71 different companies in York County. The majority of those jobs are in the furniture/cabinet manufacturing industry and at Glatfelter paper in Spring Grove.

“House Bill 1138 will help to level the playing field for the Pennsylvania forest products industry,” said William Yanavitch, Glatfelter’s vice president of human resources and administration. “We appreciate the understanding of this issue by York County’s state House members and their effective advocacy in Harrisburg to create jobs and support business and industry.”

The bill would amend the Tax Reform Code to exclude the purchase of machinery, equipment and parts used in timbering, just as farmers currently enjoy a sales tax exemption on the purchase of tractors, combines, tools, feed and fertilizers used in their operations.

“The timber industry belongs in the same category with farming, dairy and manufacturing in being excluded from what essentially is double-taxation, since sales tax is charged at retail on the final product,” said Grove. “Just like farmers, foresters work to produce a crop, so they deserve the same protections to grow their businesses. In the end, the thousands of York County jobs that feed off of timber will see long-term benefits of this legislation.”

House Bill 1138 now moves to the Senate for further consideration. For more information on Grove’s legislative goals visit www.repgrove.com or www.Facebook.com/RepSethGrove.

Representative Seth Grove
196th District
Pennsylvania House of Representatives

Media Contact: Mike Straub
717.260.6479
mstraub@pahousegop.com  
RepGrove.com / Facebook.com/RepSethGrove
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