Category Archives: Taxes

Richmond’s Proposed Cigarette Tax Increase Will Hurt Business

On April 23, the Richmond City Council is scheduled to decide whether to approve a massive new cigarette tax. Throughout the debate, tax supporters have undersold both the extreme price jump the proposal represents and the likely and profound harm … Continue reading

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$300 Million Tax Increase Is Baked into Medicaid Expansion

Governor Ralph Northam and U.S. Senator Mark Warner hit the road yesterday with the media in tow, making the case that Medicaid expansion will free up $421 million over two years for other priorities such as K-12 schools. “When we … Continue reading

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Increased Cigarette Taxes Rarely Produce Promised Revenue

The Thomas Jefferson Institute for Public Policy recently released a new study showing the impact of cigarette tax increases on local government budgets. The study, The Impact of Cigarette Tax Increases on Local Government Budgets (here), uses budget data published … Continue reading

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Tax Cuts Likely to Lead to Records for Recovery

Sometimes it’s hard to believe that this expansion is already more than 8 years long–only 18 months short of the record 120-month expansion that occurred from March 1991 to March 2001. A few analysts are concerned about a recession occurring … Continue reading

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Taxes and the Budget at Year’s End

The tax reform plan that Congress is producing will not be perfect. Nothing is…The starting point for any inquiry should be the purpose of the legislation and whether the developing product generally would move the law in the direction envisioned by the legislators. The stated purpose for this tax bill is to simplify the code for most individual taxpayers and reduce taxes for both individuals and businesses in order to spur economic growth. The theory, which has generally proven correct in the past, is that tax cuts lead to economic activities which cause job growth, improve wages, and make society more prosperous on the whole.
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