Virginia paper highlights Center's work

The Daily Press of Newport News, Virginia, on Sunday published an op-ed piece by Better South President Andy Brack that highlighted how ideas in the Center's new book impacted the Old Dominion State. An excerpt:

More reforms also can be made in Virginia. Even though the state's economy is shifting more toward services, its government taxes only 30 out of 168 services identified by the Federation of Tax Administrators. If it taxed more services, it would reduce hidden preferences given to services.

An example: If a state taxes the purchase of a lawnmower (a good), but doesn't tax landscaping services that cut people's lawns, there's an institutional preference for the service over the good. Taxing the service would make the sales tax fairer - and generate more revenue for the state. With more money from taxed services, the state could lower its overall sales-tax rate or invest in state programs and services.

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