Kelly, Smucker urge Pa. state lawmakers to back pro-growth policies during state budget talks

Image June 18, 2026 Press Release WASHINGTON, D.C. -- Today, U.S. Representatives Mike Kelly (R-PA), Chairman of the Ways & Means Subcommittee on Tax, and Lloyd Smucker (R-PA), a member of the Ways & Means and Budget Committees, sent a letter to Pennsylvania State Senate Majority Leader Joe Pittman (R-41) calling on Pennsylvania state lawmakers to use this year’s state budget process to align Pennsylvania's state tax code with pro-growth, pro-jobs, pro-investment policies enacted as part of the Working Families Tax Cuts last year. Pennsylvania has emerged as a critical battleground in the national competition for a modernized economy. Other states are moving aggressively to conform to the Working Families Tax Cuts business tax reforms as they compete for new investment, manufacturing activity, and high-quality jobs. "We fear that if Pennsylvania ultimately decouples from these federal investment incentives and cost recovery provisions, it will undermine ongoing efforts to improve the Commonwealth’s business climate and place job creators and workers at a competitive disadvantage," the Members wrote. "It would be a major setback if Pennsylvania was seen to be less hospitable to investment in technology, advanced manufacturing, life sciences research, steel production, and factory expansion than competing jurisdictions. As members of the Ways & Means Committee, which oversees tax policy and led the Working Families Tax Cuts (WFTC) in the U.S. House of Representatives, Reps. Kelly and Smucker strongly advocated for pro-growth tax policy on behalf of Pennsylvania’s burgeoning economy, including employers in the critical manufacturing, technology, and life sciences sectors. These industries are indispensable to the prosperity of our communities and the Commonwealth. These policies include: Section 174 provision for immediate expensing of research and experimentation costs; Section 168(k) expensing of machinery, equipment, and other tangible property Section 168(n) provision for 100 percent expensing of manufacturing, production, and agriculture structures; And, expanded small business expensing for small businesses under Section 179. You can find the full letter here . Issues : Tax Reform, Small Business, & The Economy