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Five things to know about Gov. Tom Wolf's first budget

Pennsylvania Gov. Tom Wolf is unveiling his first budget proposal Tuesday morning. Here are the quick hits of what you need to know about the new governor's spending plan:

1. Property and wage taxes down: Wolf is proposing a $3.8 billion property-tax relief program statewide, with wage-tax relief proposed for Philadelphia. Greater property tax-relief would be provided to high-tax, high-poverty districts. In Philadelphia, residents should see their wage-tax rate reduced from 3.92 percent to 3.48 percent, while the rate for nonresidents who work in the city will decrease from 3.49 percent to 3.11 percent. Those tax-relief programs are to be funded by raises in income and sales tax rates.

2. Income tax increase: Wolf wants to raise the personal income tax rate from 3.07 percent to 3.7 percent.

3. Sales tax increase: The governor is proposing to hike the state sales tax to 6.6 percent, up from 6 percent. The tax would also be extended to more goods and services, though food, clothes and prescription drugs would still be exempt.

4. New natural-gas tax: Wolf is proposing a new 5-percent tax on natural-gas drilling in the Marcellus Shale. The tax would replace the current impact fee, and the money generated would be used for school-funding increases. When Wolf unveiled the natural gas tax plan last month, he said it could generate $1 billion for the state's public schools.

5. Cigarette tax increase: The governor wants to raise taxes on cigarettes by $1 per pack. (Philadelphia, with its recent $2-a-pack hike, would likely be exempt.)

Inquirer staff writer Angela Couloumbis contributed to this piece.