HARRISBURG, Pa. (WTAJ) — Multiple utility companies across Pennsylvania will refund a total of nearly $62 million dollars that were associated with the federal Tax Cuts and Jobs Act of 2017 (TCJA).
The Pennsylvania Public Utility Commission (PUC) approved the plans, submitted by several utilities, to distribute the accumulated tax savings which have not yet been addressed.
Under the plans approved today, the utilities will be returning the following accumulated tax savings and interest to their customers during the coming year as a monthly credit:
- Peoples Gas – $3,723,470
- Penn Power – $5,602.115
- Met-Ed – $18,482,825
- Penelec – $19,005,569
- West Penn Power – $14,967,620
The Commission voted 3-0 to approve petitions filed by Peoples Gas Company, Pennsylvania Power Company (Penn Power), Metropolitan Edison Company (Met-Ed), Pennsylvania Electric Company (Penelec) and West Penn Power Company to distribute tax savings that accumulated during the period of January 1, 2018, through June 30, 2018, along with interest.
The Commission noted that in each of these situations the additional tax savings being returned to customers during 2022 will temporarily increase the utilities’ current TCJA surcharge/credit, which are also being used to return ongoing tax savings to customers.
The tax savings addressed in these utility plans accumulated before the PUC instituted a statewide process in 2018 to return utility tax savings to customers. Per the Commission’s order, any utility that had not filed a base rate case on or before May 17, 2021, was required to submit a plan to address and return any tax savings that had accumulated between January 1, 2018, and June 30, 2018.