POTTSTOWN PA – Two Pennsylvania state senators, Bob Mensch of Montgomery County and Andrew Dinniman of Chester County, are expected to visit the borough Friday (March 16, 2018) to promote the Mensch-sponsored 21st Century Manufacturing Innovation and Reinvestment Deduction Act. It’s intended to give manufacturers an incentive to make large investments that add or grow manufacturing capacity.
The pair will conduct a 9:30 a.m. press conference at Precision Polymer Products, 815 South St. Although intended for the media, the event is free to attend and open to the public.
The act was passed earlier this year as part of the state’s tax code. It allows manufacturers who invest $100 million or more in their ability to produce more goods to claim deductions against their taxable income. Mensch contends the deduction will encourage businesses to invest in the state and create more jobs.
There are limits to Pennsylvania’s largess, though. The deduction cannot reduce a manufacturer’s tax liability by more than 50 percent.
Mensch claimed the act has “no adverse fiscal impact on 2017-18 or 2018-19 budgets, as recipients have three years to make the qualified capital investment, and five years to attest to the state that the project is completed.
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