PA- New EIT rule on biz losses

[BP.]

I just noticed today that there is a new rule regarding business losses for PA Local Earned Income Tax- they can no longer be used to offset wages.

Wonder if this was a legislative change or an administrative change?

[KBTS]

Local Rules

I'm not sure although I thought I remember seeing it is a legislative thing in order to bring all the local tax rules into compliance with the PA State rules. Probably a step toward the new local EIT system under Act 32.

[TaxLadyinPA]

Just the opposite now...

I just noticed today that there is a new rule regarding business losses for PA Local Earned Income Tax- they can no longer be used to offset wages.

Wonder if this was a legislative change or an administrative change?

This is a great link someone else on this board provided to me and it has a wealth of info on Act 32

http://www.newpa.com/get-local-gov-support/tax-information/dceds-act-32-eit-collection-system/index.aspx

scroll down toward bottom of page on the left side under useful links and read ACT 32 FAQS ... It is a pdf file ... it tells that the law now is just the opposite as it used to be ... now if you have 2 businesses you can deduct the loss from one with profit but can no longer deduct loss from wages.

There is other good reading there too... I forget now who posted it for me but they answered my PA Local tax questions a couple weeks ago here on message board.

(Thanks again to those who posted links to me on another message, I however have a horrid memory of who did it without going back there to look)