Introduced Version
House Bill 3033 History
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Key: Green = existing Code. Red = new code to be enacted
H. B. 3033
(By Delegates Shott, E. Nelson,
Walker, McCuskey and Ellington.)
[Introduced March 21, 2013; referred to the
Committee on Roads and Transportation then Finance.]
A BILL to repeal §11-15-18b of the Code of West Virginia, 1931, as
amended; to repeal §11-15A-13a of said code; to amend said
code by adding thereto a new section, designated
§11-14C-49;
to amend and reenact §11-15-3 of said code; and
to amend said
code by adding thereto a new section, designated §ll-15-35
,
all relating to taxes on motor fuels, aviation fuels and
consumer sales and service.
Be it enacted by the Legislature of West Virginia:
That §11-15-18b of the Code of West Virginia, 1931, as
amended, be repealed; that §11-15A-13a of said code be repealed;
that said code be amended by adding thereto a new section,
designated §11-14C-49; that §11-15-3 of said code be amended and
reenacted; and that said code be amended by adding thereto a new
section, designated §11-15-35, all to read as follows:
ARTICLE 14C. MOTOR FUEL EXCISE TAX.
§11-14C-49 Article to be repealed January 1, 2014._____Each and every provision of this article is repealed for all
tax periods beginning on and after January 1, 2014: Provided, That
tax liabilities arising for taxable periods ending before January
1, 2014, are determined, paid, administered, assessed and collected
as if the tax imposed by this article had not been repealed, and
the rights and duties of the taxpayer and the State of West
Virginia are fully and completely preserved.
ARTICLE 15. CONSUMERS SALES AND SERVICE TAX.
§11-15-3. Amount of tax; allocation of tax and transfers.
(a) Vendor to collect. -- For the privilege of selling
tangible personal property or custom software and for the privilege
of furnishing certain selected services defined in sections two and
eight of this article, the vendor shall collect from the purchaser
the tax as provided under this article and article fifteen-b of
this chapter, and shall pay the amount of tax to the Tax
Commissioner in accordance with the provisions of this article or
article fifteen-b of this chapter.
(b) Amount of tax. -- Effective, January 1, 2014, the general
consumer sales and service tax imposed by this article shall be at
the rate of six eight cents on the dollar of sales or services,
excluding gasoline and special fuel sales, which remain taxable at
the rate of five cents on the dollar of sales: Provided, That two
cents of each eight cents of tax collected under the provisions of this section after deducting the amount of any refunds lawfully
paid, shall be deposited in the "Road Fund" in the State
Treasurer's office, and used only for the purpose of construction,
reconstruction, maintenance and repair of highways, and payment of
principal and interest on state bonds issued for highway purposes.
(c) Calculation tax on fractional parts of a dollar until
January 1, 2004. -- There shall be no tax on sales where the
monetary consideration is five cents or less. The amount of the tax
shall be computed as follows:
(1) On each sale, where the monetary consideration is from six
cents to sixteen cents, both inclusive, one cent.
(2) On each sale, where the monetary consideration is from
seventeen cents to thirty-three cents, both inclusive, two cents.
(3) On each sale, where the monetary consideration is from
thirty-four cents to fifty cents, both inclusive, three cents.
(4) On each sale, where the monetary consideration is from
fifty-one cents to sixty-seven cents, both inclusive, four cents.
(5) On each sale, where the monetary consideration is from
sixty-eight cents to eighty-four cents, both inclusive, five cents.
(6) On each sale, where the monetary consideration is from
eighty-five cents to one dollar, both inclusive, six cents.
(7) If the sale price is in excess of one dollar, six cents on
each whole dollar of sale price, and upon any fractional part of a
dollar in excess of whole dollars as follows: One cent on the fractional part of the dollar if less than seventeen cents; two
cents on the fractional part of the dollar if in excess of sixteen
cents but less than thirty-four cents; three cents on the
fractional part of the dollar if in excess of thirty-three cents
but less than fifty-one cents; four cents on the fractional part of
the dollar if in excess of fifty cents but less than sixty-eight
cents; five cents on the fractional part of the dollar if in excess
of sixty-seven cents but less than eighty-five cents; and six cents
on the fractional part of the dollar if in excess of eighty-four
cents. For example, the tax on sales from one dollar and one cent
to one dollar and sixteen cents, both inclusive, seven cents; on
sales from one dollar and seventeen cents to one dollar and
thirty-three cents, both inclusive, eight cents; on sales from one
dollar and thirty-four cents to one dollar and fifty cents, both
inclusive, nine cents; on sales from one dollar and fifty-one cents
to one dollar and sixty-seven cents, both inclusive, ten cents; on
sales from one dollar and sixty-eight cents to one dollar and
eighty-four cents, both inclusive, eleven cents and on sales from
one dollar and eighty-five cents to two dollars, both inclusive,
twelve cents: Provided, That beginning the first day of January,
two thousand four, tax due under this article shall be calculated
as provided in subsection (d) of this subsection and this
subsection (c) does not apply to sales made after the thirty-first
day of December, two thousand three.
Calculation of tax on fractional parts of a dollar after
December 31, 2003. -- Beginning January 1, 2004, the tax
computation under subsection (b) of this section shall be carried
to the third decimal place, and the tax rounded up to the next
whole cent whenever the third decimal place is greater than four
and rounded down to the lower whole cent whenever the third decimal
place is four or less. The vendor may elect to compute the tax due
on a transaction on a per item basis or on an invoice basis
provided the method used is consistently used during the reporting
period.
(e) (d) No aggregation of separate sales transactions,
exception for coin-operated devices. -- Separate sales, such as
daily or weekly deliveries, shall not be aggregated for the purpose
of computation of the tax even though the sales are aggregated in
the billing or payment therefor. Notwithstanding any other
provision of this article, coin-operated amusement and vending
machine sales shall be aggregated for the purpose of computation of
this tax.
(f) (e) Rate of tax on certain mobile homes. --
Notwithstanding any provision of this article to the contrary,
after December 31, 2003, the tax levied on sales of mobile homes
to be used by the owner thereof as his or her principal year-round
residence and dwelling shall be an amount equal to six percent of
fifty percent of the sales price.
(g) (f) Construction; custom software. -- After December 31,
2003, whenever the words "tangible personal property" or "property"
appear in this article, the same shall also include the words
"custom software".
(h) Computation of tax on sales of gasoline and special fuel.
-- The method of computation of tax provided in this section does
not apply to sales of gasoline and special fuel.
§11-15-35. Tax on aviation fuel effective January 1, 2004.
_____(a) General. -- Effective January 1, 2004, all sales of
aviation fuel are subject to an excise tax composed of a flat rate
equal to $.205 per invoiced gallon plus the tax imposed by this
article. Sales of aviation fuel upon which the tax imposed by this
article has been paid shall not thereafter be again taxed under the
provisions of this article. This section is construed so that all
gallons of aviation fuel sold and delivered, or delivered, in this
state are taxed one time.
_____(b) Measure of tax. -- The measure of tax imposed by this
article on sales of aviation fuel is the average wholesale price
defined as the single, statewide average per gallon wholesale
price, rounded to the third decimal (thousandth of a cent),
exclusive of state and federal excise taxes on each gallon of
aviation fuel, as determined by the Tax Commissioner from
information furnished by suppliers, importers and distributors of aviation fuel in this state, or other information regarding
wholesale selling prices as the Tax Commissioner may gather, or a
combination of information: Provided, That on and after January 1,
2010, in no event shall the average wholesale price be determined
to be less than $2.34 per gallon of aviation fuel: Provided
however, That on and after January 1, 2011, the average wholesale
price shall not vary by more than ten percent from the average
wholesale price of aviation fuel as determined by the Tax
Commissioner for the previous calendar year.
_____(c) Definitions. -- For purposes of this article, the term
"Aviation fuel" means aviation gasoline or aviation jet fuel.
_____"Aviation gasoline" means motor fuel designed for use in the
operation of aircraft other than jet aircraft, and sold or used for
that purpose.
_____"Aviation jet fuel" means motor fuel designed for use in the
operation of jet or turbo-prop aircraft and sold or used for that
purpose.
_____(d) Tax return and tax due. -- The tax imposed by this article
on sales of aviation fuel shall be paid by each taxpayer on or
before the last day of the calendar month by check, bank draft,
certified check or money order payable to the Tax Commissioner for
the amount of tax due for the preceding month, notwithstanding any
provision of this article to the contrary: Provided, That the
commissioner may require all or certain taxpayers to file tax returns and payments electronically. The return required by the
commissioner shall accompany the payment of tax: Provided, however,
That if no tax is due, the return required by the commissioner
shall be completed and filed on or before the last day of the
month.
_____(e) Compliance. -- To facilitate ease of administration and
compliance by taxpayers, the Tax Commissioner shall require persons
liable for the tax imposed by this article on sales of aviation
fuel to file a combined return and make a combined payment of the
tax due under this article on sales of motor fuel and the tax due
under article fourteen-c of this chapter on motor fuel. In order to
encourage use of a combined return each month and the making of a
single payment each month for both taxes, the due date of the
return and tax due under said article is the last day of each
month, notwithstanding any provision in said article to the
contrary.
_____(f) Dedication of tax. -- All tax collected on the sale of
aviation fuel after deducting the amount of any refunds lawfully
paid shall be deposited in the State Treasurer's office and
transferred to the State Aeronautical Commission to be used for the
purpose of matching federal funds available for the reconstruction,
maintenance and repair of public airports and airport runways.
NOTE: The purpose of this bill is to provide for future repeal of provisions of the Motor Fuel Excise Tax; to increase the
consumer sales and use tax to eight percent, dedicating the
increased revenue from that tax to the Road Fund; to provide for
aviation fuel tax, and to dedicate that revenue to runway repair
and maintenance.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.
§11-14c-49 and §11-15-35 are new; therefore, they have been
completely underscored.