Gov. Tom Wolf's sales tax expansion would cover child care, nursing homes and more

Pennsylvania Gov. Tom Wolf wants to raise the sales tax and have it apply to more goods and services. ( (AP Photo/The Citizens' Voice, Christopher Dolan))

Under Gov. Tom Wolf's proposed budget, dozens of new things would be subject to the state sales tax, from child care services to nursing home services.

The Democrat from York County proposes to raise the sales and use tax from 6 to 6.6 percent effective Jan. 1, 2016, and to broaden the categories covered.

It's part of a budget plan that would also raise the personal income tax and lower school property taxes.

During a budget hearing on Monday, House Appropriations Committee Chairman Bill Adolph, R-Delaware County, called the sales tax proposal "a huge expansion" of items that would be taxed.

"As long as I've been in public office I always heard that a sales tax increase hurts the lower middle income folks and the poor folks the most," Adolph said.

Americans for Prosperity announced last week that it had released a radio ad criticizing Wolf over the plan, saying it will increase the cost of many everyday items, such as soap, diapers and Tylenol. "Even the cost of a Hershey's bar will increase," one of the speakers in the ad says.

During an interview on WITF's "Smart Talk" Wednesday, Wolf was asked about a person living in a nursing home who will have to pay more in sales tax without any property tax reduction. Wolf said people should look at the big picture.

"I'm looking at somebody who will look at his or her entire life and say, 'Is this plan making my life better or worse?'" Wolf said.

Wolf said the economy is a lot different now than when Pennsylvania's first permanent sales tax took effect in the 1950s. "We're just bringing ourselves into the 21st century," he said.

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Gov. Tom Wolf's sales tax expansion would cover child care, nursing homes and more