Amid budget woes, gas drilling tax turns GOP heads

THE REPORTER / AP: Slapping Pennsylvania’s booming natural gas industry with a new tax has long been the currency of Democrats, and now an increasingly grim budget picture is turning Republican heads in the GOP-controlled state Legislature.

Some Republicans in the Capitol are predicting that a tax on natural gas extraction could end up in whatever final budget legislation emerges, probably in late June. The multinational industry has been a lightning rod since it arrived in Pennsylvania five years ago, and raising taxes on it would be preferable to cutting aid to schools or the poor, some Republicans say.

One obstacle is Gov. Tom Corbett. The Republican has publicly opposed a tax on the industry, both before and after he was persuaded by the Legislature’s Republican leaders to sign legislation in 2012 that imposed an impact fee on the industry… (more)

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