Youngkin Pitches His $1 Billion Tax Cut Package to Supporters at Rally

RICHMOND, Virginia – – Guv Glenn Youngkin spoke at a rally on Monday where he shot hoops with children and required his supporters to push their lawmakers to support the tax relief package consisted of in his budget change proposal.

" We can spend for this. We have actually an expected surplus. We're forecasting continued excess profits. We can manage this and we can still invest in a record education spending plan. We can still purchase the change of our behavioral health system. We can still invest in police. We can still invest to make federal government work for you," he said in the fitness center at the Carole and Marcus Weinstein Jewish Community.

The governor promoted Virginia's $3.6 billion surplus, and said that lowering taxes is the essential to reversing out-migration in the Commonwealth.

Senate Minority Leader Thomas Norment (R-James City).
Youngkin's proposal develops on cuts currently passed in the spending plan in 2022 and includes $1 billion in tax relief, reducing business tax rate from 6 to 5 percent and decreasing the earnings tax for payers above $17,000 from 5.75 percent to 5.5 percent, and increasing the standard reduction on income tax. Youngkin also called for making Virginia veterans qualified for a $40,000 tax exemption at any age.

Delegate John McGuire (R-Henrico), Delegate Joe McNamara (R-Roanoke), Senate Minority Leader Thomas Norment (R-James City) and Congressman Rob Wittman (R-VA-01) also spoke at the rally.

During his campaign for governor, Youngkin campaigned on doubling the basic reduction from $4,500 to $9,000 for single filers, and from $9,000 to $18,000 for joint filers. The Fiscal Year 2023-2024 budget compromise passed by legislators only increased the basic reduction to $8,000 for individuals and $16,500 for joint filers. McNamara and Norment highlighted efforts to finish doubling the reduction.

" You hear so much discussion that, ‘‘ Oh, you're simply attempting to change tax laws for the rich people,'" Norment said. "Let me inform you: with this doubling the standard deduction, we get that through, that is going to have a remarkable influence on lower-income and middle-income individuals.".

Youngkin needs to get buy-in from Senate Democrats on his propositions. After Youngkin provided his spending plan modifications to lawmakers in December, Senate Finance Co-Chair George Barker (D-Fairfax) showed that huge tax cuts are unlikely.

Democrats likewise have their own desire list for costs and tax relief. The budget compromise passed last year made 75 percent of Virginia's Earned Income Tax Credit (EITC) refundable, a concession from Republican negotiators after Democrats sought to make 100 percent of the EITC refundable. After Youngkin's State of the Commonwealth address, Senator Jennifer McClellan (D-Richmond) included that in a list of more targeted tax relief propositions she 'd like to see.

" It's not part of my preliminary bundle," Youngkin told reporters after his Monday rally. "It is something that I believe they're going to talk about, and we'll see where that goes. What's more crucial I believe, is that we end up the basic deduction work, that we look after our veterans, and we get our rates down.".

" But I'm always, always open up to talking with folks about different techniques, but at the end of the day, our package has been actually clear: we have actually got to get on the course of getting Virginia's rates down due to the fact that the states listed below us have already begun this and we are method behind," he said.