By Richard W. Lewis, CPA, CFE, Business Assurance & Advisory Services Partner | Manufacturing Industry Team
On June 11, 2015, the Virginia Manufacturers Association (VMA) made available its “2015 VMA Legislative Wrap-Up Report” to its members. The report provides a statistical overview of the legislative session and the results of most bills that could impact the manufacturing sector. Specific bills that are important to manufacturers include the following:
- HB 1554 Recycling Equipment Tax Credit Reform – Reauthorizes tax credit, increases rate to 20 percent of purchase price and established a 2 million dollar cap (Result: Passed)
- SB1044 Federal Internal Revenue Code (IRC) Conformity; Section 199 Domestic Production Deduction – Allows for full deduction of 9 percent of qualified income from domestic production (Result: Passed)
- SJ274 JLARC Manufacturing Study – Requires JLARC to update its 2006 study on the cost of regulatory compliance on the manufacturing sector (Result: Passed)
- HB1512 Minimum wage – Increases minimum wage to $15.15 per hour (Result: Tabled)
- SB704 Local minimum wage – Allows any locality to establish a $10.50 per hour minimum wage (Result: Passed by)
- SB706 Minimum wage – Increases minimum wage to $8 per hour and tipped wages to 50 percent of minimum wage (Result: Stricken)
- HB1697 Plastic microbeads – Bans the manufacture and sale of plastic microbeads (Result: Tabled)
- SB880 Local option for disposable plastic bags ban – Allows any locality by ordinance to prohibit retailers from providing disposable plastic bags to consumers (Result: Failed to report)
The outcome of the 2015 legislative session was a “win” for Virginia manufacturers. The full report and other information on legislative policy in Virginia that impacts manufacturers can be found here.
The information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.