Philly’s Small Businesses Slam BIRT Tax Hike as Mayor Parker Doubles Down on Sanctuary City Laws

Philadelphia is grappling with two major stories that expose the city’s political and economic tensions. First, tens of thousands of small businesses are sounding the alarm over a steep increase in the Business Income and Receipts Tax (BIRT). Opponents call the hike “crushing and absurd,” warning it will force solo practitioners and micro-businesses—already struggling—to leave Philadelphia. The tax threatens to chill entrepreneurial activity and undermine local economic diversity, raising urgent calls for a fix before the damage becomes irreversible.

In a city that prides itself on progressive policies, Mayor Cherelle Parker is doubling down on Philadelphia’s sanctuary city commitments. Yesterday, she signed six out of seven “ICE Out” bills passed by City Council. These laws legally restrict Immigration and Customs Enforcement (ICE) from conducting raids on city and school properties, further codifying protections for undocumented immigrants. This move cements Philadelphia’s defiance against federal immigration crackdowns, even as the national political climate grows more hostile.

On a lighter note, SEPTA is making transit more accessible by expanding its multitap fare system. Now families and groups can swipe up to five people on a single fare instrument, simplifying group travel and potentially boosting ridership.

But the headlines are dominated by the economic squeeze on small businesses and the city’s bold sanctuary stance. The BIRT tax increase threatens to hollow out Philadelphia’s small business ecosystem just as the city asserts itself as a refuge from federal immigration enforcement. Both stories reveal a city at a crossroads, balancing economic survival with its progressive values—and the stakes couldn’t be higher for everyday Philadelphians.