Richmond, VA – After passing the legislature HB 2529 was signed into law by the governor, giving nearly $1 billion back to Virginia taxpayers.
“I am proud to have sponsored legislation that gives money back to hardworking Virginia families, cuts their taxes in the future, and eliminates the cap on state and local tax deductions,” Delegate Tim Hugo (R-Fairfax) said. “From the very beginning, I have been clear that the excess money from the federal tax cuts was not ours to spend and should be given back to Virginians, and this legislation makes that a reality.”
The bicameral compromise will provide $420 million in tax refunds to Virginia taxpayers in October of 2019. This means individuals will receive up to $110 and couples will receive up to $220.
The plan also increase the standard deduction by fifty percent beginning in tax year 2019, providing $86 in tax relief for an individual or $173 for a married couple.
This legislation maintains the current rules for state and local taxes (SALT), to ensure that homeowners are not hit with an unexpected tax increase at the state level. The total package will guarantee at least $976 million in tax relief, or about $400 for every family in the Commonwealth.