February 25, 2019

West Virginia Center on Budget & Policy: House Income Tax Cut Plan Mostly Benefits Wealthy and Puts Large Holes in the State Budget (HB 3137)

ITEP Work in Action

According to the Institute on Taxation and Economic Policy, a one-percentage reduction in each personal income tax rate would give a West Virginian with an income between $36,000 and $56,000 an average tax cut of $231 compared to $6,044 for someone in the top 1 percent with an income of above $451,000. This means someone in the top 1 percent would receive on average a tax cut that is 26 times as large as someone in the middle 20 percent. This is because wealthier West Virginians benefit the most from each rate reduction, especially the top marginal tax rate that drops from 6.5% to 5.5%.

Read more