RICHMOND, Va. — The Virginia House on Tuesday passed a legislative package to guarantee at least $950 million in tax relief.
Legislation carried by Delegates Hugo (HB2529) and Jones (HB2533) works in tandem to ensure that all additional individual tax revenue from the Tax Cuts and Jobs Act is set aside in a Taxpayer Relief Fund. The money will then be used to provide tax relief for those impacted by federal and state law changes.
“Since we rolled out our tax relief plan last month, Republicans in the House of Delegates have been unified in our efforts to use increased revenues from the federal tax law changes to provide tax relief to middle-class taxpayers,” said House Speaker Kirk Cox (R-Colonial Heights). “Our plan guarantees that all money from the federal tax law changes are put in a lockbox and returned to taxpayers. I appreciate Chairman Ware, Chairman Hugo, and Chairman Jones for their leadership on this important issue.”
House Bill 2529 allows taxpayers to itemize their state taxes regardless of how they file their federal return. The law would allow middle-class families to receive the maximum amount of tax relief at the federal and state level.
The legislation will offer abroad tax relief for 2.7 million Virginians who claim the standard tax deduction.
The bill increases the standard deduction to $4,000 for single individuals and $8,000 for married persons filing jointly for taxable years 2019, through 2025. Under current law, the standard deduction is $3,000 for single individuals and $6,000 for married couples filing jointly.
“The House budget does not spend revenues from the Tax Cuts and Jobs Act and this legislation guarantees that revenue from the individual provisions will be placed in the Taxpayer Relief Fund,” said House Appropriations Committee Chairman S. Chris Jones (R-Suffolk). “Virginians would be far better off if the House could adopt this legislation with an emergency clause, but unfortunately some of our colleagues are preventing that. The tax filing season will be significantly disrupted.”
