GOP Is Hiding Behind A Backdoor Tax On Business


CHARLESTON, WV- Today, Governor Jim Justice spoke out against the budget measure being pushed by the House Finance Committee that would increase taxes on businesses to the tune of $94 million. The Republican plan removes tax exemptions for businesses and taxes business to business transactions. It's a far more painful option than the Governor's Commercial Activities Tax.

The base has left the Republicans: the Chamber of Commerce, contractors, labor, tourism, racing, manufacturers, the medical community, oil & gas companies, even coal, educators, higher education- especially WVU, and most importantly the people.

Governor Justice asked, "Why come with such a bizarre and incomplete proposal with only five days left in the session?"

Governor Justice said, "This Republican tax on businesses is just lipstick on a pig. It isn't pretty and whacks West Virginia businesses unnecessarily."

The Republicans say they want to "broaden the tax base," that's a fancy way of saying that West Virginia companies will pay a lot more by losing critical exemptions.

The GOP tax plan will place a far bigger burden on West Virginia companies than the Governor's proposed .045% Commercial Activities Tax, which is supported by the West Virginia Chamber of Commerce. Under the Justice plan, a company with gross receipts of $1 million will only pay $450.

What West Virginia businesses would pay under each propos​al:

  • House Republican Plan: $94 million
  • Governor Justice's Plan: $45 million

Justice called the Republican measure a step in the wrong direction because it will cause major budget problems starting in year two of the plan and worsen in year three.

"Businesses need to help pull the rope to fix the budget crisis and pay a tiny bit more; my plan does that and has strong support from the business community," said Governor Jim Justice. "This $94 million tax scheme the House Republicans are cooking up is a trojan horse that will be very painful and burdensome for businesses. I want it to be as painless as possible for the people, business, the wealthy, and government to do their part to fix the budget crisis."​

Contact Information

Grant Herring —


Office of the Governor
State Capitol, 1900 Kanawha Blvd. E
Charleston, WV 25305

Office Phone:
304.558.2000 or 1.888.438.2731

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