Manchin has strong points on tax package, but timing is very suspect
Posted by Shannon on October 31, 2006
Yesterday, Gov. Joe Manchin (D-WV) circled the state of West Virginia to promote his tax incentive plan that he hopes will jump start a state economy that is in need of a new battery, engine and alternator instead of a jump start. According to the Register-Herald (Beckley, W.Va.), Manchin’s tax proposals have some promise and would actually be good for West Virginia.
In short, Manchin wants to:
- Cut two percent from the state’s tax on food, which is currently 5 percent after a recent reduction. That would be a one percent reduction in the first year, and another the following year.
- Create a family tax credit for low-income workers
- Increase the homestead deduction for seniors to $20,000
- Lower the net income tax rate on businesses from 9 to 8.75 percent - a savings of $25 million to business owners currently in the state.
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A cut in the franchise tax from 70 cents to 55 cents, another $25 million savings for businesses.
All of these ideas are good and will be booms for the West Virginia economy, but it’s the timing of the proposal that has some scratching their heads. Manchin is asking for a special session on Nov. 9, two days after the general election, to pass his tax measure. The reason he said is that he wants familiar faces to deal with the issue instead of new ones.
That’s fine, so why wasn’t the plan promoted and presented during the regular legislative session back in January? Manchin told those who question the timing to ask seniors and families if they can wait any longer for relief. My question is to Manchin, why not ask yourself that question about your own delays in bringing this to the issue.
This is an issue that never should be addressed in special session and should have been brought up in January when the legislature was in full session. In Manchin’s defense you could argue he was busy dealing with the tragedy of the Sago Mine Disaster, however the tax policy changes could still have been addressed.
Also waiting two months until January when a new session of the legislature is in place is not a bad idea. It allows the public more time to examine the package as well as it removes the uneasiness of having defeated legislators vote on a proposal that would have lasting implications for the state, regardless if it will bring some good back home.
Sadly, this is a move that strikes at politics. It’s time West Virginia leaders stop playing politics and actually start caring about those who they are called to serve.