In This Issue:

PA Budget: No State Tax Increases for 2011-12; June Collections: +8.3%; Assessment Law Author Bert Goodman Joins McNees; PA Tax Tips: Local Tax Exemptions for Manufacturing; Pennsylvania Property Tax Task Forces Created; An Introduction To Sales and Use Taxation of Digital Goods; and PA Case Notes.

PA BUDGET: NO STATE TAX INCREASES FOR 2011-12

On June 30th, Governor Corbett signed a state budget reducing Pennsylvania’s state government spending by more than $1 billion. These cuts, including substantial cuts to K-12 school funding and aid to higher education, however, virtually ensure tax increases by many local school districts and higher tuition for college students attending state-owned and state related universities. Following are key highlights of interest to Pennsylvania businesses.