Thomas Fitzgerald cleared this up last week, and now the Wolf campaign has an ad up refuting it.
A new attack ad from Gov. Tom Corbett (R) accuses Democratic opponent Tom Wolf of hypocrisy because, it says, his building-products company takes advantage of a loophole to avoid corporate taxes while he favors more taxes on the middle class.
One problem: the Wolf Organization, though it is chartered in Delaware, says it pays corporate taxes in Pennsylvania and the 27 other states where it does business. State law allows many corporations to avoid Pennsylvania tax by listing assets in Delaware, the so-called “Delaware Loophole.”
This is a pretty awkward line of attack for PA Republicans.
On the one hand, Republicans say they closed the Delaware Loophole. But if that were true, how come Corbett’s accusing the Wolf Organization of using it?
Republicans want to be able to use political attacks on tax avoidance, because it’s an unpopular thing, but they don’t actually want to close the Delaware Loophole with combined reporting.
It’s a strange dance, and it’s actually the reverse of the national party’s “don’t hate the player, hate the game” stance on international business tax avoidance.