Mountain State Times

NFIB State Director Gil White expressed support for Governor Jim Justice's proposed tax reduction plan. The proposal aims to cut West Virginia's personal income tax by 50% over three years, which could benefit small business owners who pay taxes at individual rates.

"Our members hope the legislature approves Governor Justice’s plan to slash West Virginia’s personal income tax rate by 50% over three years," said White. He noted that most small businesses in the state are structured as pass-through entities, making them subject to individual rather than corporate tax rates.

White highlighted the difficulties faced by small businesses in recent years, citing challenges such as the pandemic, supply chain disruptions, labor issues, increased fuel prices, and inflation affecting costs from raw materials to customer receipts.

He pointed out that West Virginia concluded its last fiscal year with a $1.3 billion budget surplus. "We believe the state can afford to reduce the individual tax rate without having to make up the difference by raising taxes and fees someplace else," he stated.

White emphasized the significance of small businesses in West Virginia's economy: "It’s easy to forget, but 98.8 percent of all businesses in the state are small businesses." He argued that reducing financial pressure on these businesses would help them recover from economic setbacks and promote growth and job creation.