UPDATE: W.Va. Senate passes tax reform bill; House fails to do so

By  | 

UPDATE 3/29/17 @ 9:50 p.m.
CHARLESTON, W.Va. (WSAZ) – Following the state Senate passing their tax reform bill Wednesday morning, the House failed to do so before the crossover deadline.

This means the House will have to amend the version the Senate passed.

But House Speaker Tim Armstead says it wasn't necessary for the House's bill to pass since the Senate already passed theirs.

Armstead said he’s confident that both houses can agree on a bill by the end of the legislative session that will modernize tax reform and bring more jobs to West Virginia.

“We feel like our tax structure in and of itself is not fair,” Armstead said. “It is not modern, it is not competitive when it comes to creating jobs. It does not encourage job creation, and so what we want to do is use this opportunity to actually change some of the basic framework of that tax structure in a way that will put more West Virginians back to work and, at the same time to be able to help us to address the long-term budget issues that we have as a state.”

Armstead also says they already started discussions with the Senate about the components in their tax reform bill that passed.

There are only 10 days left in the 2017 legislative session for both houses to pass this bill and send to the governor.



UPDATE 3/29/17 @ 4:05 p.m.
CHARLESTON, W.Va. (WSAZ) -- Gov. Jim Justice responded swiftly Wednesday to the West Virginia Senate's vote to overhaul the state tax system by raising the state sales and use tax to 7 percent and applying it more broadly while cutting state income tax rates.

The bill pushed by the chamber's Republicans passed 22-12.

It would cut the top income tax rate from 6.5 to 5 percent.

Justice issued the following statement through his press secretary Grant Herring:

“The Republican Senate tax bill will force working families to pay more and let the super wealthy get away with paying less. A tax break for the rich will only make the state’s budget crisis worse. Governor Justice believes that we need to grow new jobs and get West Virginia on solid financial footing before we start tinkering with the state income tax.”



ORIGINAL STORY 3/29/17 @ 11:57 a.m.
CHARLESTON, W.Va. (AP) - West Virginia's Senate has voted to overhaul the state tax system by raising the state sales and use tax to 7 percent and applying it more broadly while cutting state income tax rates.

The bill pushed by the chamber's Republicans passed 22-12.

It would cut the top income tax rate from 6.5 to 5 percent.

The lowest rate would drop from 3 percent to 1.65 percent.

Sen. Robert Karnes, an Upshur County Republican and chief sponsor, says other states that cut income taxes are growing economically and several economists say consumption taxes encourage savings and capital formation.

Sen. Mike Woelfel, a Huntington Democrat, says the proposed overhaul benefits the rich while undercutting the middle class and especially the working poor.

It would tax food at 3.5 percent.



 
Comments are posted from viewers like you and do not always reflect the views of this station. powered by Disqus