Bill > HB88

This bill removes the sunset provision on elevated standard deduction amounts for Virginia state income tax, which means the higher standard deduction rates currently in place will now permanently remain for taxpayers who do not itemize their deductions. Specifically, the bill eliminates language that would have reverted standard deduction amounts to lower levels starting in tax year 2026. Under the current provisions, single individuals and married couples filing jointly will continue to receive higher standard deductions: $8,500 for single individuals and $17,000 for married persons (with half those amounts for married individuals filing separately). This change ensures taxpayers can continue to benefit from the more generous standard deduction amounts that were previously set to expire, which can potentially reduce the tax burden for many Virginia residents by lowering their taxable income. The bill maintains the existing structure of standard deductions while removing the previously planned reduction in those amounts.

Budget and Finance

https://lis.virginia.gov/cgi-bin/legp604.exe?251+sum+HB88