Liquor revenue

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We cannot afford to sell the state stores. Again Gov. Tom Corbett and some legislators are pushing to sell our liquor stores. It is his responsibility and those legislators’ to assure that their actions are in the best financial interests of the citizens of our state.

Every year the state stores earn more than $80 million in profit, which goes into the state treasury. This money is used to help cover the general expenses of the state, for example education, senior programs, parks and everything else that the state spends money for. How will this money be replaced? Tax increases or cuts to education, cuts to seniors’ programs or cuts to other programs. Gov. Corbett and the legislators need to explain this.

Who are the people who want to purchase our state stores? They will be wealthy. They will incorporate their businesses in Delaware so they will avoid paying any Pennsylvania tax on their profits. They will buy more than one store in your neighborhood. They will ultimately raise the price of the liquor. They will hire minimum-wage workers so they can make more profit. Lower wages means less personal income taxes collected for the state and less money to spend in your communities. It will affect local businesses and the taxes they pay.

Not only will the state treasury lose the profits from the liquor stores’ sales but it also will lose taxes from the employees and other businesses. Giving up $80 million to $90 million in revenues each year is a very bad financial deal for the citizens of Pennsylvania. The state stores should not be sold.

TERRY KIRKPATRICK
Coraopolis

 


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