Earned Income Tax to be Paid to the Municipality Work is Conducted in Regardless of Employer Location

Description

This bill applies to all 1st class cities (in PA this only applies to Philadelphia). The bill proposes restricting Philadelphia's wage tax on non-residents who perform work outside of Philadelphia, regardless of whether their employer is based in Philadelphia or not. Overall, this reduces the city’s ability to tax those who live and work elsewhere. CPAC believes in protecting working-class taxpayers and supports this bill. The Senate passed this bill on June 23, 2025, by a vote of 29-21. This bill has not become a law.