One of the major aspects of the "compromise tax plan" between the governor and Senate leadership is the deep cuts to the personal income tax. The proposed tax compromise plan condenses the state's five income tax brackets into three brackets and reduces the rates, a move that would reduce income tax revenue by $356-$380 million per year, with…
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Earlier this week, the West Virginia Center on Budget and Policy examined the fiscal impact of the proposed compromise tax plan between Governor Justice and Senate leadership that will influence how the budget is finalized. It appears House leadership is saying "nope" to this plan and it is unclear how the plan would close the state's…
Yesterday, the West Virginia Center on Budget and Policy posted an analysis of the "compromise tax plan," that is thought to be the foundation for budget negotiations between the Senate and the governor. Overall, the plan would reduce state revenue by $114.8 million. While most of the revenue loss comes from reductions in income tax rates,…
On the last night of the 2017 Legislative Session, the Senate and the Governor appeared to have worked on a tax plan compromise bill that would make sweeping changes to the state's tax system that would exacerbate our state's budget crisis and shift the tax load onto working families to make room for tax breaks…
On October 7th, voters in West Virginia overwhelmingly approved a $1.6 billion general obligation bond to invest in the state’s road system. This is on top of the estimated $500 million in Turnpike Bonds and $500 million in federal GARVEE road bonds that were approved during the special legislative session earlier this year, along with about $130 million in increased State Road Fund revenues to…
A recent report from the Economic Policy Institute looks at how many jobs could be lost in each state under the Republican health bill - the American Health Care Act. The AHCA - which would repeal the Affordable Care Act (ACA) - is like a zombie - it just does not seem to quite die.…
Today, the House approved a tax plan (SB 484) that broadens the sales tax base and lowers the rate to balance the House's budget (HB 2018). Altogether, the tax plan is expected to increase tax revenue in its first two years, while lowering tax revenue by year three. This is because of revenue triggers in…
The House of Delegates version of the FY 2018 budget bill has been introduced. The House budget spends $258 million less in General Revenue than the Governor's proposed budget, balancing the budget largely through spending cuts. Unlike the Senate proposal, the House budget relies on new revenue from SB 484, which expands the sales tax…
The state Senate's version of the FY 2018 budget bill has been released, giving a glimpse into how the legislature plans to close the state's budget gap. The Senate's bill spends $402.6 million less from the General Revenue Fund than Governor Justice's proposed budget, meaning that once again, the budget is being balanced largely through spending…
Last Wednesday, the Senate passed Senate Bill 409 that makes sweeping changes to the state's tax system that decrease personal income and severance taxes while increasing sales taxes. Similar to previous Senate tax proposals, SB 409 shifts the tax load onto working families to pay for tax cuts for wealthier West Virginians. On top of…