More States Join the Tax-Cutting Club
WSJ Opinion: Potomac Watch
The Wall Street Journal
4.2 • 2.8K Ratings
🗓️ 8 March 2023
⏱️ 24 minutes
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| 0:00.0 | U.S. businesses sold $61 billion worth of products to Chinese consumers on Alibaba in 2021, |
| 0:07.8 | supporting 390,000 American jobs and $31 billion in wages. |
| 0:13.1 | Learn more at AlibabaParisPisances.com |
| 0:16.0 | From the opinion pages of the Wall Street Journal, this is Potomac Watch. |
| 0:26.0 | Three more states prepared to join the parade of income tax cutters as the New York City |
| 0:31.2 | Transit Union blocks a plan to rearrange subway schedules for post-COVID traffic patterns. |
| 0:37.9 | Welcome, I'm Kyle Peterson with the Wall Street Journal. |
| 0:41.1 | We are joined today by my colleague on the editorial board, |
| 0:44.6 | Manet Uquibru, welcome to you, Manet. |
| 0:47.5 | The remarkable run for state tax cutters over the past few years is only getting more |
| 0:52.8 | remarkable. It seems. Let's start with West Virginia, where the state has recently passed a |
| 0:58.0 | tax cut plan that doesn't go quite as far as the original proposed by Governor Jim Justice, |
| 1:04.7 | but still seems to step forward for the state's business climate and certainly personal |
| 1:08.8 | pocketbooks. So Manet, give us a sense of what the governor proposed there and what the state |
| 1:13.8 | legislature ultimately has enacted. Yes, so the final version which has come out of a compromise, |
| 1:19.6 | which I'll get to in a bit, is going to reduce the top rate on income taxes from 6.5% today to 5.12%, |
| 1:30.0 | so about a 20% reduction. And that goes quite a long way because if you look at the states in |
| 1:36.2 | West Virginia's neighborhood, all of them are well below 6%, or rather I believe Virginia is close |
| 1:42.8 | to that at 5.75, but some of the other bordering states, Maryland, etc., have lower rates than |
| 1:49.4 | West Virginia. And so this is about competing, about making sure that the playing field stays |
| 1:55.2 | competitive for West Virginia's business climate. Jim Justice, as you mentioned, the governor of |
| 2:00.7 | West Virginia had originally wanted to go a bit further. The plan that he proposed and which was |
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