If you live and work in West Virginia, your paycheck has grown in recent months due to the tax cut enacted by the West Virginia Legislature. For many, the 21.5% income tax reduction is serving as a way to combat rising prices for food and other living expenses.

The impact also is being felt in Charleston. As of earlier this month, the state was sitting on $1.7 billion in surplus revenue funds — tax dollars over and above what the state needs to conduct its business. Giving money back through the tax reductions is the right thing to do, as we’ve argued. By the end of June, $114 million will be returned to taxpayers. By the end of June 2024, that amount will be $810 million.

“And that’s good for West Virginia. It’s going to stimulate the economy and it’s going to result in more economic activity in our state,” Revenue Secretary Dave Hardy said.

There’s also even better news — given the state’s ongoing strong economic performance, it is likely additional tax cuts will be triggered in coming years. As studies show, states with lower income tax rates typically outperform their higher-tax neighbors. West Virginia must use that strategy for population and business growth.