SENATE
HOUSE
JOINT
BILL STATUS
STATE LAW
REPORTS
EDUCATIONAL
CONTACT
home
home
Introduced Version House Concurrent Resolution 32 History

   |  Email
Key: Green = existing Code. Red = new code to be enacted

HOUSE CONCURRENT RESOLUTION 32

(By Delegates Pushkin, Fleischauer, Brewer and Bates)

[Introduced March 2, 2017]

 

Requesting the Joint Committee on Government and Finance study the economic and fiscal impacts of the reduction of the Corporation Net Income Tax.

Whereas, In 2006, the West Virginia Legislature implemented reduction of the Corporation Net Income Tax from nine percent to eight and three-fourths percent; and

Whereas, In 2008, the West Virginia Legislature implemented a subsequent reduction of the Corporation Net Income Tax from eight and three-fourths percent to six and one-half percent over five years contingent upon the adequate funding and general stability of the Rainy Day Fund; and

Whereas, Under the 2008 law, the Rainy Day Fund must total, at minimum, ten percent of the general revenue fund of the preceding year; and

Whereas, In 2013, The Rainy Day Fund had exceeded ten percent of the general revenue fund and the Corporation Net Income Tax was reduced to six and one-half percent; and

Whereas, As of December, 2016, the Rainy Day Fund has decreased by thirty-four percent since June, 2014, to fund shortfalls in the state budget and is in jeopardy of being depleted; and

Whereas, West Virginia has received downgraded credit ratings from Moody’s, Standard and Poor’s, and Fitch as of February, 2017, due to the state’s fiscal instability and inability to preserve the Rainy Day Fund; and

Whereas, Proponents of this measure enacted the reduction on the pretense that it would facilitate economic growth, attract businesses, and create jobs in West Virginia, and no overt economic gain has occurred; therefore, be it

Resolved by the Legislature of West Virginia:

That the Joint Committee on Government and Finance is hereby requested to study the economic growth, job creation, tax revenue losses, and depletion of the Rainy Day Fund that has occurred as a result of the reduction of the Corporation Net Income Tax, and give due consideration to the reinstatement of the prior Corporation Net Income Tax rate to help restore the Rainy Day Fund; and, be it

Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2018, on its findings, conclusions and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; and, be it

Further Resolved, That the expenses necessary to conduct this study, to prepare reports and draft necessary legislation, be paid from legislative appropriations to the Joint Committee on Government and Finance.

This Web site is maintained by the West Virginia Legislature's Office of Reference & Information.  |  Terms of Use  |   Email WebmasterWebmaster   |   © 2024 West Virginia Legislature **


X

Print On Demand

Name:
Email:
Phone:

Print