In July 2008 Senate and House Democrats and Governor Tim Kaine agreed on a bill that would have increased sales taxes for transportation in Virginia by 1 ¼ percent. This came during the first signs of recession. The rate would have been raised by 1 percent in northern Virginia and ¼ percent state-wide costing taxpayers an estimated $4 billion! 
 
House delegate Margaret Vanderhye, was included among those Democrats. Now, Vanderhye is running for re-election against Barbara Comstock (R). Comstock recently signed the Taxpayer Protection Pledge, committing not to increase any and all taxes.
 
Raising taxes during a recession is bad news. The additional resources taken out of the private economy prevent private expenditure and investment that provides output and jobs in future years. Governments uses these resources inefficiently, or less efficiently than do private entities, resulting in less economic growth and diminished productivity – the last thing we want to see during recessions! Fortunately, this proposal failed. Nevertheless, she voted for tax increases at a time when Virginians were struggling most.
 
Click here to view the ATR press release.
 
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