"It's not a tax increase if you return it to the prior rate"...What?!...

.

I had heard this theory before but I had to run this example by my "Democrat" friend to see if it applied here also....

.

It is being reported that Democratic Virginia Governor \ Democratic National Committee Chairman Tim Kaine is looking at cutting back or eliminating the Car-Tax relief all together to fill the $2.7 to $3.5 billion state revenue void...

.
"One of the sacred cows in Virginia's budget, car tax relief for residents, is among the spending items outgoing Gov. Timothy M. Kaine and his team are analyzing as they look to plug a state revenue hole estimated to be anywhere from $2.7 billion to $3.5 billion."

.

The first time I heard this "Democrat-theory" used was when many were saying that by allowing the Bush tax-cuts to expire it is not an actual tax increase but just allowing the tax rate to return to where it was before the tax-cut(?).....

.

Somehow I feel that there will still be less money in my paycheck and a even higher amount going to the government via the tax "adjustment"...

.
"An outright repeal of the car tax subsidy could save the state $1.9 billion over the upcoming two-year budget cycle and fill a large chunk of the projected revenue hole. But it would also place localities that rely on those funds in a tough spot and likely mean higher tax bills for vehicle owners."

.

Fortunately House Majority Leader Morgan Griffith sees this for what it is...

.
"House Majority Leader Morgan Griffith, R-Salem, said any reduction to the car tax refund amounts to "a huge tax increase" that "hits the families of Virginia right in the eye."
Anything the state withholds, localities would be "entitled to bill" to their residents, he added."

.