Posted on 12/18/2009 5:34:53 PM PST by george76
Despite talk about easing burdens on businesses to encourage them to create jobs, companies in Virginia will be paying more in taxes come Jan. 1.
The state unemployment tax that businesses pay on each employee will be going up, from an average of $95 per employee per year to an average of $171 a year in 2010, $234 in 2011 and $263 in 2012.
The tax goes into the fund the state uses to pay unemployment benefits... When the unemployment fund gets low, it triggers an automatic increase in the tax. The increase is determined by a formula.
Virginia Employment Commission research director Don Lillywhite said there are some worries about the impact of the tax increase on businesses.
"There has been concern expressed in meetings and so on, 'You're raising our taxes at the very time we need to create employment,'" Lillywhite said. "The taxes go up automatically. We don't sit here and decide--it's based on legislation."
The fund is not just low, it's virtually empty. Unemployment claims have gone up about 80 percent this year over last year. The state is now borrowing money from the federal government to pay unemployment benefits and is likely to keep doing so through 2012...
The state will borrow money quarterly; the first request to the federal government, sent in September, was for $252 million.
(Excerpt) Read more at fredericksburg.com ...
Tyrants or Idiots?
Mmmmm Both!
Tyriots or Idirants...take your choice.
Just imagine how will it be for the last business open in the state. The poor street vendor will be hit with $250 million monthly :-)
Neither one knows the importance of the mind, so what’s the difference?
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