Easton's proposed increase in the city's commuter tax is illegal and should not be adopted, and council should consider repealing its earned income tax on city residents for the same reason, Northampton County solicitor Victor Scomillio told Easton City Council Wednesday night.
Mayor Sal Panto Jr. flatly rejected Scomillio's opinion, saying the city was on firm legal footing but council, which had planned to vote on the issue, tabled any action until the Nov. 25 meeting.
"We think we're legal, but maybe we can open a dialogue," Panto said, referring to Northampton County officials, some of whom have suggested the county stop collecting the city's earned income tax for Easton.
William Murphy, the city solicitor, did not respond to Scomillio's arguments, instead stating he would present Scomillio with a letter Thursday explaining the city's position.
City residents already pay $5.2 million to the city and non-residents now pay $1.9 million.
Easton anticipates receiving an additional $400,000 from people who work in the city but do not live there, if the increased commuter tax is passed.
Panto, as he has many times in the past, launched into a lengthy criticism of the state legislature, which he blames for not addressing a $6 billion deficit municipalities across the state are facing in unfunded pension liabilities.
The city intends to use the additional $400,000 to help fund the city's pension funds.
"They need to tackle pensions," Panto said, referring to state legislators.
Two people in the audience told Panto they think the problem lies in Easton, saying the city was essentially imposing taxes on people who have no representation on the taxing body, Easton City Council.
Joy Cohen, a Bethlehem resident, said the money she would have to pay Easton is money she will not be able to put into her retirement, a move that will have a long lasting impact.
"It' a significant tax being imposed on us without representation," she said.
Mitch Miller of Allentown agreed, summing up his objection in one sentence: "It's taxation without representation."
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