Court Ruling Against Scranton’s Illegal Taxation Plan

On Wednesday, Oct 18, 2017, Judge Gibbons ruled against the city of Scranton regarding a case of unlawful taxation. The lawsuit is in regard to whether or not the city of Scranton is subject to the Act 511 cap that imposes a limit on how much taxes the city of Scranton can collect on the local level. The plaintiffs, a group of citizens including Mayoral candidate Gary St. Fleur, allege that the city of Scranton has been over taxing the people of Scranton for the past 10 years. The current year has an overage of $10 million dollars. Judge Gibbons has stated that:

“Whether it does is immaterial because Act 511 clearly and indisputably applies to the City of Scranton…Act 511 denies Scranton the right to repeatedly levy and collect taxes in excess of its prescribed cap without taking further steps”

“As such, we will not change our conclusion that the Home Rule Charter Law is subservient to Act 511”

In other words, the city of Scranton is unquestionably subject to Act 511. This means that the Scranton recovery plan is a farce and bankruptcy is inevitable. Furthermore, tax payers will be liable for refunds for any taxes paid in excess of the cap for the past three years. The potential cost to the city will be upwards of $50 million dollars. More info here

The order is below:

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