Why incorporate in Pennsylvania?
Business Information & Rankings
- Pennsylvania ranks 6th among states in new and expanded business facilities, and 4th in new manufacturing operations. (Site Selection Magazine, 2006).
- Pennsylvania ranked 16th nationally for its Business Tax Climate. (Tax Foundation, 2005)
- Of the 31 States with nuclear capacity, Pennsylvania ranks 2nd. (Energy Information Administration).
Cost of living
|For Philadelphia, PA (2005)||Index Score|
|Misc. Goods & Services:||115.9|
Pennsylvania has the 10th lowest overall crime ranking in the U.S. (FBI, 2004)
Fees & Taxes
Business Inventory Tax
Corporate Income Tax
Pennsylvania’s corporate tax structure consists of a flat rate of 9.99% on all corporate income.
Personal Income Tax
Pennsylvania has a flat tax rate of 3.07% on individual income tax, with no personal exemptions.
Personal Property Tax
Pennsylvania does not levy or collect taxes on real estate or personal property. Municipalities (cities, townships, and boroughs) are permitted to levy real estate property taxes that cannot exceed 30 mills on the assessed value of the property. Counties may also levy an intangible personal property tax, which taxes stocks, bonds and other personal property taxpayers may own. Not all Pennsylvania counties levy this tax.
State Sales and Use Tax
Base Rate: 6.0%
Machinery Rate: none
There is an exemption for sales of property, rendition of services, or use of property, including but not limited to machinery equipment, parts or supplies to be consumed directly in manufacturing personal property.
Pennsylvania’s new employers’ rate is 3.752 percent for 3 years.