Change approved by the General Assembly will remove improved tax credits next year.
Anytime you hear Bob McDonnell speak about the budget, he’s quick to remind people that he did not raise taxes. That was his pledge from the start. Even though not raising taxes put a dent in education and eradicated any hope for a transportation plan, McDonnell stuck to his pledge.
Or so it seemed.
The Commonwealth Institute released a report today showing that the budget approved by Governor McDonnell eliminates $6,000,000 in improved tax credits between 2009 and 2010. These improved credits were the result of the federal Recovery Act, and are a factor in the 10% increase in the amount of tax returns for 2009.
According to the Commonwealth Institute, the elimination of the improved credits will mean that, “for a married couple with three children, the average tax increase in 2010 is $205 and for single parents with three children, the average tax increase is about $125.” The increase is estimated to affect 114,000 families earning less than $49,000 a year.
It’s unfortunate that Bob McDonnell would approve of raising taxes on those that would need the relief the most. Add this to the mounting evidence of how disconnected McDonnell and the conservative movement is from the people who are just trying to make a living. Those like McDonnell want to stand up to President Barack Obama and the federal government and thumb their noses at their efforts to help people in Virginia. For this defiant arrogance, Virginia families will see $6,000,0000 less in their income tax returns next year.