The 429 page Republican tax bill was unveiled on Thursday; called the "Tax Cuts and Jobs Act." The bill would lower the corporate tax rate to 20%, repeal most personal exemptions and increase the standardized deduction. The bill lays out an expanded child tax credit while reducing deductions for dependent college students. State and local tax deductions would be eliminated.
Supporters have claimed for decades that tax cuts encourage corporate investment and help working Americans keep more of the money they earn. Republican House Speaker Paul Ryan said the bill " . . . is for the middle-class families in this country who deserve a break. It is for the families who are out there living paycheck to paycheck who just keep getting squeezed."
Critics argue it is a wealth grab benefiting only the 1%; Public Citizen calls the bill "a massive payback to the political donor class, conferring untold riches on those who don't need it - the superrich and giant corporations."
On the Friday edition of WITF's Smart Talk, we'll discuss the bill with U.S. Representative Scott Perry, the Republican Congressman representing Adams and York Counties as well as parts of Dauphin and Cumberland Counties.
Also, Governor Wolf signed into law legislation that would substantially expand the state's gambling footprint. The passage of expansion took place, as stated by the governor before the Pennsylvania Press Club, because "There's been a lot of pressure from a lot of places in the Commonwealth to actually expand (gambling) and we do need some recurring revenue."
The bill allows for gambling at truck stops, airports and online as well as license ten new brick-and-mortar casinos to existing gaming entities. Pennsylvania trails only Nevada in commercial gaming revenues.
Critics have argued that gaming isn't an appropriate source of tax revenue; Peach Bottom state representative Bryan Cutler told the LNP in March "Every time we've counted on gambling in the budget those revenues have undershot it or something unexpected has happened, such as the decrease of the lottery fund in response to the expansion of table games." Last week, Cutler voted in support of the expansion.
A 2016 report from the Rockefeller Institute of Government indicated that "In the short-run, states indeed do raise additional revenues due to expansion of gambling activities and facilities. However, history shows that in the long-run the growth in state revenues from gambling activities slows or even reverses and declines." Smart Talk will speak with Dr. David Schwartz, director of UNLV's Center for Gaming Research about the viability of relying on gaming tax revenue to meet budget shortfalls.
Later, we'll discuss educating and preparing ourselves for acts of terrorism. A radicalized ISIS adherent drove a rented truck down a bike path in Manhatten on Tuesday, killing eight and injuring twelve.
Dr. Duane Hagelgans currently serves on the South Central Pennsylvania Counter Terrorism Task Force (SCTF) and the Lancaster County Emergency Management Agency and teaches diaster and emergency management at Millersville University; he joins Smart Talk to discuss ways to spot suspicious activity.