Tools, taxes, and temporary relief
In Pennsylvania, a state representative is proposing a tax holiday for tool purchases.
You’ve probably heard of “tax holidays.” Several states establish them occasionally to address economic areas of concern, or at certain times of the year — such as no sales tax on purchases of school supplies in late summer, or on generators and preparedness supplies during weather emergencies. Some states, perhaps yours, have even declared tax-free weekends to boost small businesses.
Here in Pennsylvania, the State House of Representatives is proposing legislation as part of a larger “Freedom Through Affordability” initiative targeting economic relief. It’s hoped that a series of tax holidays could help Pennsylvania families save money on essentials. A state representative feels that the same should be extended to tools.
According to State Rep. Brenda Pugh, tools aren’t a luxury, but essential items for work. She feels that a tax holiday on tools is a pro-worker, pro-small business means of providing an economic break to workers who build, fix, and maintain communities throughout the state.
“Whether it’s a contractor on a jobsite, a mechanic in a garage, a small-business owner serving their community, or a do-it-yourself homeowner making repairs, tools are how many Pennsylvanians earn a living and keep our economy moving,” Pugh said in a press release on her website. Her legislation would work with the initiative to exempt tools from the state's sales tax during a proposed six-month tax holiday.
If it works, she says it would lower everyday operating costs for small businesses, contractors, and tradespeople. As a bonus, it could encourage young people to seek high-demand skilled trades careers, something I’ve talked about here a number of times.
This isn’t a done deal, however. Pugh’s legislation still must be formally introduced, and then go through a house committee review process, plus the overall “Freedom Through Affordability” initiative is still being refined. It’s early yet, but I think this is going to be something interesting to watch unfold over the next weeks and months. You can bet that other states are going to be following it, too.
A.J. Hamler is the former editor of Woodshop News and Woodcraft Magazine. He's currently a freelance woodworking writer/editor, which is another way of stating self-employed. When he's not writing or in the shop, he enjoys science fiction, gourmet cooking and Civil War reenacting, but not at the same time.
