There is no doubt that all options are on the “table” (gee, what is it with Virginia Democrats and the table?) with Governor Tim Kaine’s goals of drafting a budget for the Commonwealth for the upcoming fiscal year. Considering that the Commonwealth has a budget deficit of $3 billion, Kaine is looking to offset our fiscal woes by reversing the car tax and eliminating the dealer discount, which allows Virginia merchants to keep a percentage of their profits.
The question remains: Will Higher Taxes solve Virginia’s Budget Woes? No. In a economic recession, the best option is to reduce spending at the government level and cutting unnecessary programs that prove no benefit to the people in the Commonwealth of Virginia. In fact, this is the same thought that Lieutenant Governor Bill Bolling and four Republican leaders have when it comes to potential tax increases in a recent letter sent to the Governor.
When will our legislative leaders get it? Tax increases harm prosperity, create an unfriendly environment to businesses and economic development, and hurt working families in the Commonwealth. However, it appears that all options are on the hypothetical table with Kaine, considering that his Administration has been filled with budget oversights over the past four years.