Va. House Proposes Heavier Tax On Business (GOP Stuns Opposition)

[kskiska]

GOP Stuns Opposition By Attacking Exemptions

RICHMOND, Feb. 16 -- Republicans in Virginia's House of Delegates endorsed a plan Monday to end tax breaks for many businesses, joining Gov. Mark R. Warner (D) and the Senate's Republican leaders in calling for new revenue to balance the state's budget.

Faced with the prospect of closing Virginia's $1 billion budget gap with deep cuts to popular programs, the GOP-controlled House instead voted 59 to 36 to raise $520 million by eliminating sales tax exemptions enjoyed by utility companies, the shipping industry, airlines, dry cleaners, telephone companies and other businesses. House leaders expect the bill to receive final approval Tuesday.

The plan, first put forth by Republican leaders just 80 hours before the vote, turned the Capitol's tax debate on its head. Business lobbyists, Democratic legislators and Warner administration officials gathered for their own tense, closed-door strategy sessions and wondered what to make of a GOP plan that targets the party's traditional business allies.

more…
http://www.washingtonpost.com/wp-dyn/articles/A46545-2004Feb16.html

[Nlighten1]

1. Does this mean...

that republicans are raising taxes?

[DianeG5385]

2. God is good

And good people even if they are republicans ultimately see the light!

[mobuto]

3. Now wait just a second

But if you've followed this Virginia legislature, you'll maintain a healthy skepticism before calling them good people. Until this decision, they could just as well have been the most radical right-wing legislative body on the planet. So either they've seen the light, or they're up to something.

[GRClarkesq]

4. GOP might believe this is better than raising personal rates

as a politcal consideration. I can see how the Warner and Dems might be nervous, its quiet, tooooooooo quiet.