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Labor, Faith, Social Service Groups: State Senate Cuts Are Too Deep

March 4, 2008

Charleston, WV – The State Senate's corporate tax cuts are going too far, according to labor, faith and social service groups who took their message to the Capitol yesterday. The groups were there to speak up against a number of corporate tax cuts passed by the State Senate, amounting to an estimated $200 million of the state budget each year.

State AFL-CIO President Kenny Perdue says the tax cuts could result in budget shortfalls in the future. When that happens, he says, taxpayers will pay the price.

"Where do we go? Where do we get the money? In all probability, the working people are going to have to start paying up more money, and we don't want that."

Perdue says the cuts also would hurt funding for already strained local governments, especially counties that are already having trouble paying the bills and keeping up with pension payments.

"These counties deserve better than this. It's not one of these things where they say 'We're going to cut the inventory tax now, then we're going to find you some money later on.' That's not going to happen."

Supporters of the tax cuts say they'll boost business investment in the state. Perdue says his organization has supported other corporate tax cuts in the past, but the current round of cuts goes too far and could jeopardize state investments in education, infrastructure and other services that bring a better economic return.

Rob Ferrett/Kevin Clay, Public News Service - WV