West Virginia's booming natural gas production has led to more than just drilling jobs and severance taxes, it has also increased the state's property tax base. Since 2005, the total assessed value of property in the state has increased from $57.9 billion to $86.6 billion, an increase of 49.5%. And while the growth has been…
Tax and Budget
Members of the state's media have once again refused to accept that the state's recent series of tax cuts have directly lead to its ongoing budget problems. Last week Budget Office Director Mike McKown told legislators that the state budget faces an $80 million gap that will be need to be closed before the end of…
Another day, another budget presentation that fails to mention the tax cuts that are at the heart of our state budget woes. According to the Gazette, the State Budget Director informed an interim committee that the current budget faces a $80 million shortfall and next year's budget will face a gap of $260 million. This…
The Charleston Gazette reported this morning that three West Virginia lawmakers are planning a trip to Richmond, Virginia to learn how they recently restructured funding for their ailing transportation system. According to a recent report by the Virginia-based Common Wealth Institute, there are several major flaws with the transportation funding package that was signed into…
Kanawha County is getting set to vote on a proposed school excess levy in order to fund the county's library system, which recently lost the financial support of the county school district. The proposal would increase the school excess levy from 29.82 cents to 45.9 cents per $100 for class II properties, and from 59.64…
Attorney General Patrick Morrisey misinformed business leaders and elected officials this week at the WV Chamber of Commerce's Annual Business Summit when he said: "We know that if you look around to all the states West Virginia touches, we have the highest combined individual and corporate tax rate." There are several problems with this statement.…
This weekend's Charleston Gazette included another article lamenting the lost revenue from the alternative vehicle tax credit. When the tax credit was scaled back this past legislative session, it resulted in a rush of people claiming the credit before they become ineligible, pushing up its cost. Now, Deputy Revenue Secretary Mark Muchow thinks that the tax…
Sometime this fall - probably in October - the federal government will reach its borrowing limit and we are likely to witness another fierce debate about federal debt and deficit spending. Often in these debates, pundits and others make the claim that since households have to balance their budgets, the federal government should do the…
West Virginia could gain $1.2 million in state and local tax revenue each year if Congress passes immigration reform, allowing undocumented immigrants now living in the United States to live here legally, according to a new report from the Institute on Taxation and Economic Policy. While the likelihood of immigration reform is currently up in…
Over the last several years, West Virginia has reduced its two main business taxes on the promise that it will boost revenue and jobs. As recent budget cuts show, there is little evidence that cuts to the corporate net income and business franchise tax have "broadened the base" or led to significant job gains. In…