The Commonwealth Court of Pennsylvania has granted a motion by Harrisburg, Pa.’s receiver William Lynch to force the City Council to double its earned-income tax as part of the financial recovery plan in the state capital.
Justice Bonnie Brigance Leadbetter ruled late Monday that the increase to 2% from 1% was legal. “The overall scheme of Act 47 implicitly authorizes the requested increase in the EIT,” she ruled, referring to the state’s recovery program for distressed communities.
Leadbetter denied without prejudice a request by Lynch to restore the $75,000 salary of Mayor Linda Thompson’s communications director, Robert Philbin.
