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VA SB702

VA SB702
Income tax, state; brackets, deductions, and exemptions, inflation indexing.


summary

Introduced
01/14/2026
In Committee
01/14/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Regular Session

Bill Summary

Individual income tax; brackets, deductions, and exemptions; inflation indexing. Adjusts annually the amount of the income tax brackets, standard deduction, personal and other individual exemptions and deductions, and filing threshold to the annual change in the Chained Consumer Price Index for All Urban Consumers (C-CPI-U). The bill directs the Department of Taxation to annually publish on its website the individual income tax inflation adjustments. This bill contains technical amendments.

AI Summary

This bill, titled "Individual income tax; brackets, deductions, and exemptions; inflation indexing," aims to adjust Virginia's individual income tax system annually for inflation. Specifically, it mandates that the Department of Taxation will use the "indexing modification," defined as the year-over-year percentage increase in the Chained Consumer Price Index for All Urban Consumers (C-CPI-U), to adjust the income tax brackets, the standard deduction, personal and other individual exemptions, and the filing threshold. The Department will be required to publish these inflation-adjusted figures on its website annually. The bill also makes technical amendments to existing tax laws and introduces a new section to facilitate the publication of these adjustments.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Continued to next session in Finance and Appropriations (10-Y 5-N) (on 02/05/2026)

bill text


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bill summary

Document Type Source Location
State Bill Page https://lis.virginia.gov/bill-details/20261/SB702
Fiscal Note/Analysis - Fiscal Impact statement From TAX (2/2/2026 6:40 pm) https://lis.blob.core.windows.net/files/1108099.PDF
BillText https://lis.virginia.gov/bill-details/20261/SB702/text/SB702
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