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Economic growth

Capito: The One Big Beautiful Bill Delivers Tax Relief for West Virginians

Strategic Insights

— 2 min read

Senator Shelley Moore Capito of West Virginia has emphasized the benefits of the One Big Beautiful Bill (OBBB), a legislation aimed at preventing the largest tax increase in history for working- and middle-class Americans. By extending and expanding the successful Tax Cuts and Jobs Act, passed during President Trump's first term, the Senate Republicans aim to foster an environment of economic growth and increase affordability for American families.

Key Takeaways:

  • The OBBB will deliver the largest tax cut in history to hardworking people in West Virginia and across the country, with West Virginia families seeing their take-home pay increase by thousands of dollars.
  • Approximately 400,000 seniors in West Virginia could benefit from the no-taxes-on-social-security provision.
  • 5% of the labor force in West Virginia is employed in occupations that will benefit from the no-taxes-on-tips provision.
  • The legislation establishes a $6,000 bonus deduction for seniors and a permanent small business deduction, increasing the Section 179, Small Business Expensing Cap from $1.25 million to $2.5 million.
  • The Hydrogen Tax Credit (945V) will be extended until January 1, 2028, saving Hydrogen Hubs across the country, including West Virginia's ARCH2 project.
  • The legislation permanently restores 163j interest deductibility beginning after December 31, 2024, providing small business owners in West Virginia with the tools they need to compete, grow, and hire.
  • The One Big Beautiful Bill Act is a landmark victory for West Virginia's small businesses, making the Small Business Tax Deduction permanent and providing certainty for Main Street.
  • Senator Capito has been a champion for West Virginia's hospitality and tourism industry, supporting key provisions in the OBBB that will positively impact restaurant, lodging, and tourism industry members.

Statistics:

  • The OBBB will result in the largest tax cut in history for working- and middle-class Americans.
  • Approximately 400,000 seniors in West Virginia could benefit from the no-taxes-on-social-security provision.
  • 5% of the labor force in West Virginia is employed in occupations that will benefit from the no-taxes-on-tips provision.
  • The Section 179, Small Business Expensing Cap will be increased from $1.25 million to $2.5 million.
  • The Hydrogen Tax Credit (945V) will be extended until January 1, 2028.
  • The permanent small business deduction will provide West Virginia's small business owners with the tools they need to compete, grow, and hire.

Sources:

  • Shelley Moore Capito, Senator, "Capito: The OBBB Delivers Tax Relief for West Virginians" (press release, July 30)
  • Gil White, NFIB West Virginia State Director, quoted in Shelley Moore Capito, Senator, "Capito: The OBBB Delivers Tax Relief for West Virginians" (press release, July 30)
  • Richie Heath, Executive Director of the West Virginia Hospitality and Travel Association, quoted in Shelley Moore Capito, Senator, "Capito: The OBBB Delivers Tax Relief for West Virginians" (press release, July 30)
  • Shelley Moore Capito, Senator, "Capito: The OBBB Delivers Tax Relief for West Virginians" (press release, July 30)

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