STATEMENT: Sales Tax on Services Would Hurt WV Businesses

Date: February 29, 2016

Gil White, West Virginia state director of the National Federation of Independent Business, released the following statement today in response to HB 2704, legislation that would lift the sales tax exemption on professional services:

“Our members appreciate the idea of lowering the overall tax rate, but lifting the exemption on professional services amounts to a new tax on small businesses.

“Raising taxes on job creators isn’t going to help our economy.

“What it would do is create additional costs for small businesses and put them in a bad situation: Do they raise prices to cover bookkeeping and other new expenses, and risk losing customers, or do they try to absorb the extra costs by not expanding or hiring new employees?

“Before the Legislature even thinks about raising taxes on small businesses, lawmakers need to make sure there isn’t an ounce of fat that can be trimmed from the state budget.”

NFIB/West Virginia is the state’s leading small business association with 2,000 dues-paying members representing a cross section of the state’s economy. Learn more at or follow NFIB_WV on Twitter.

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