Nice move by State Sen. and gubernatorial candidate Creigh Deeds:
This seems like a win-win for Virginia's farmers and consumers. Let's hope it passes the General Assembly in 2009!Deeds is introducing a bill to eliminate what he refers to as the double taxation of locally grown meat. Currently, Virginia farmers are charged a 5 percent sales tax when they take their sheep, cow, chicken or hog to the processor. The farmer is also charged a 2.5 percent sales tax when they sell their processed product at market. If Deeds' bill were approved, the farmer would pay just the 2.5 percent sales tax.
The bill is in response to concerns raised by Joel Salatin, who owns Polyface Farms in Augusta County. Salatin, an organic farmer, was featured in the New York Times bestseller Omnivores Dilemma.
"If we can get this bill passed this session, it will be a boon for Virginia's thriving local food movement," said Peter Jackson, a Deeds spokesman. "More Virginians will be able to enjoy healthy, safe, locally produced and processed meats."
I'd be interested to see how the numbers work out here. How much money would farmers save/the government lose? If indeed a boon to the market, what are the projections for increased revenue to the state?
ReplyDeleteIn general, I like the idea of locally grown foods being in my market, and at a cheaper cost to myself and other consumers...if indeed the savings would be passed (at least in part) to the consumer.
- Joel McDonald
Virginia Beach Progressives