Local governments look for additional $500 million from state income tax funds – Center Square

Local governments could see an additional $500 million dollars for their share of state income taxes, something that could help fund local services and control local taxes. The Local Government Distributive Fund, or LGDF, was instituted when the state implemented an income tax decades ago. The LGDF sends a percentage of state income taxes back to local governments as a way to keep local governments from implementing their own income taxes.