Committee debates HB 978, a sales-tax modernization that would tax many services; businesses press for exemptions Delegate Watts' HB 978 would expand Virginia's sales-tax base to selected services and digital/consumable services while exempting licensed health care and specified professional services; business groups including the Virginia Self Storage Association and chambers asked the committee to carve out self-storage, fitness and delivery services. The committee adopted amendments and carried the bill over to 2027.

Virginia's proposed HB 978 aims to modernize the sales tax system, but will it strike the right balance between generating revenue and protecting essential services?

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