Income tax, state; conformity of taxation system with the IRC. (HB2529)

Introduced By

Del. Tim Hugo (R-Centreville) with support from 9 copatrons, whose average partisan position is:

Those copatrons are Del. Dickie Bell (R-Staunton), Del. Mark Cole (R-Fredericksburg), Del. Chris Collins (R-Winchester), Del. Todd Gilbert (R-Woodstock), Del. Chris Jones (R-Suffolk), Del. Joe McNamara (R-Roanoke), Del. Chris Peace (R-Mechanicsville), Del. Nick Rush (R-Christiansburg), Del. Lee Ware (R-Powhatan)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Income tax; conformity. Advances conformity of the Commonwealth's tax code with the federal tax code to December 31, 2018, effective starting in taxable year 2018. Starting in taxable year 2019, the bill deconforms from the provisions of the federal Tax Cuts and Jobs Act (TCJA) that limit the deduction for state and local taxes and that suspend the overall limit on itemized deductions. The bill establishes income tax subtractions starting in taxable year 2018 for Global Intangible Low-Taxed Income (GILTI) and for one-fifth of the amount of business interest that is disallowed as a deduction from federal income tax. The bill increases the standard deduction to $4,500 for single individuals and $9,000 for married persons filing jointly for taxable years 2019 through 2025. Under current law, the standard deduction is $3,000 for single individuals and $6,000 for married couples filing jointly. The bill provides for a refund, not to exceed a taxpayer's tax liability of up to $110 for individuals and $220 for married persons filing a joint return. The refund will be issued in October 2019 and will be available only for a taxpayer filing a final return by July 2019. The refunds will be reduced and prorated if the additional revenues generated by the TCJA are insufficient to fully fund the refunds. The bill establishes the Taxpayer Relief Fund (the Fund). For fiscal years 2019 through 2025, any additional revenues attributable to the TCJA, beyond those necessary to fund the provisions of the bill, would accrue to the Fund. The bill directs the General Assembly to appropriate money from the Fund to enact permanent or temporary tax reform measures. The bill contains an emergency clause and is identical to SB 1372. Amends § 58.1-301, of the Code of Virginia. Read the Bill »

Outcome

Bill Has Passed

History

DateAction
01/09/2019Committee
01/09/2019Prefiled and ordered printed; offered 01/09/19 19104278D
01/09/2019Referred to Committee on Rules
01/22/2019Impact statement from TAX (HB2529)
01/23/2019Referred from Rules
01/23/2019Referred to Committee on Finance
01/25/2019Fiscal impact review from JLARC (HB2529)
01/27/2019Impact statement from TAX (HB2529)
01/28/2019House committee, floor amendments and substitutes offered
01/28/2019Reported from Finance with substitute (12-Y 10-N) (see vote tally)
01/28/2019Committee substitute printed 19104698D-H1
01/30/2019Read first time
01/31/2019Passed by for the day
02/01/2019Read second time
02/01/2019Passed by temporarily
02/01/2019Committee substitute agreed to 19104698D-H1
02/01/2019Pending question ordered
02/01/2019Engrossed by House - committee substitute (51-Y 43-N) HB2529H1
02/01/2019VOTE: ENGROSSMENT (51-Y 43-N) (see vote tally)
02/04/2019Passed by temporarily
02/04/2019Motion to pass by until end of calendar agreed to
02/04/2019Passed by for the day
02/05/2019Motion to pass by temporarily until completion of HB2355 agreed to
02/05/2019Pending question ordered
02/05/2019Read third time and passed House (51-Y 48-N)
02/05/2019VOTE: PASSAGE (51-Y 48-N) (see vote tally)
02/06/2019Constitutional reading dispensed
02/06/2019Referred to Committee on Finance
02/07/2019Impact statement from TAX (HB2529H1)
02/08/2019Reported from Finance with substitute (14-Y 0-N) (see vote tally)
02/08/2019Committee substitute printed 19106602D-S1
02/08/2019Incorporates HB2355 (Jones, S.C.)
02/08/2019Read second time
02/11/2019Read third time
02/11/2019Passed by temporarily
02/11/2019Reading of substitute waived
02/11/2019Committee substitute rejected 19106602D-S1
02/11/2019Floor substitute printed 19106700D-S2 (Newman)
02/11/2019Substitute by Senator Newman agreed to 19106700D-S2
02/11/2019Engrossed by Senate - floor substitute HB2529S2
02/11/2019Passed Senate with substitute (35-Y 5-N) (see vote tally)
02/12/2019Placed on Calendar
02/12/2019Read third time
02/12/2019Senate substitute agreed to by House 19106700D-S2 (95-Y 4-N)
02/12/2019Emergency clause added
02/12/2019VOTE: ADOPTION EMERGENCY (95-Y 4-N) (see vote tally)
02/12/2019Enrolled
02/12/2019Bill text as passed House and Senate (HB2529ER)
02/12/2019Impact statement from TAX (HB2529ER)
02/12/2019Signed by Speaker
02/13/2019Signed by President
02/13/2019Enrolled Bill communicated to Governor on February 13, 2019
02/13/2019G Governor's Action Deadline Midnight, February 20, 2019
02/15/2019G Approved by Governor-Chapter 17 (effective 2/15/19)
02/15/2019G Acts of Assembly Chapter text (CHAP0017)

Comments

Bill writes:

Yes to tax conformity

Bill Peabody writes:

To Adjust for inflation you need to almost double the standard deduction

Post a Public Comment About this Bill



if you have one


(Limited HTML is OK: <a>, <em>, <strong>, <s>)