About the tax referendum

To the editor: I would like to clear up a common misconception related to the May 15 income tax referendum. As a result of the passage of Act 1 in Harrisburg, the Delaware Valley School District must place a referendum on the May primary ballot that would institute a new income tax. This new tax would affect wages, interest income, and income from other investments. It does not eliminate school property tax. It only reduces it by an estimated $287 per eligible homestead. If the referendum passes in May, residents of the DV school district will continue to receive a property tax bill from the school and a property tax bill from the county and township. In addition, they will receive a personal income tax bill for 0.9% of their personal income. For a family with a combined personal income of $60,000/year, the tax would be $540. If the family has an eligible homestead in the district, they would receive about a $287 reduction in school property taxes. Thus, they would pay a net increase in school taxes of about $253. Any family living in one home with a combined personal income above $31,889/year will end up paying more net tax under this plan. Voting “no” on the referendum does not prevent the school district from receiving money generated by the state from gambling revenue. These funds will not be available until there is $400 million available in the Property Tax Relief Fund and $100 million available in the Property Tax Relief Reserve Fund. The actual amount our district would receive is determined by a formula based largely on the relative wealth of the district. When these funds become available, they will be used for property tax reduction whether residents vote yes or no on the May 15th referendum. Again, I must emphasize that these funds will reduce school property taxes, not eliminate them. It is important that all residents of our school district educate themselves about this referendum and vote in the May 15th primary. Additional information is available on the school district website at www.dvsd.org. John Wroblewski President, Delaware Valley School Board