Virginia must stick to the playbook in 2025 – Cardinal News

As we approach this year’s presidential election, the stakes could not be higher – not only for our country’s future, but for Virginia’s financial future.

Despite national headwinds, Virginia has maintained a steady economic trajectory under the leadership of Governor Youngkin. His efforts to recruit industry, reduce red tape, and promote growth have put the Commonwealth in a comfortable economic position with promising prospects for state revenues.

Whether we stay on the current path or not will depend heavily on who sits in the Oval Office and which party controls Congress. As the Tax Cuts and Jobs Act (TCJA) of 2017 approaches the end of 2025, the outcome of this year’s elections will impact state revenues and tax policy.

Enacted during the Trump administration, the TCJA lowered individual income tax rates, nearly doubled the standard deduction and expanded the child tax credit. These cuts increased take-home pay and eased the financial burden on families. Unless the incoming Congress and the President renew or revise many of these soon-to-expire TCJA provisions, middle-class families and small business owners in Virginia, already burdened by inflation, will bear the brunt of higher tax liabilities.

Although these TCJA tax cuts will not expire until the end of 2025, we cannot ignore the expected impacts of the upcoming elections as we approach the 2025 General Assembly.

The “Virginia Playbook” that Governor Youngkin talked about at the recent Joint Money Committee meeting is working. Virginia families will see nearly $8 billion in one-time and ongoing tax relief by the end of Governor Youngkin’s term, with major investments made in key areas. We have proven that we can provide financial relief to families while supporting our law enforcement, public schools, mental health services, and other bipartisan priorities.

The choices we make at the ballot box in November will not only impact our national economic trajectory, but will certainly impact our economy at home. Regardless of the national outcome, it is critical that we stick to the playbook in the coming legislative session. By proactively anticipating changes in federal tax policy, we can protect middle-class Virginians, maintain revenues, and ensure that the Commonwealth remains an attractive environment for families and small businesses – no matter what happens in Washington.

Wendell Walker is a member of the House of Representatives from Lynchburg. He’s a Republican.

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