**H.** **B.** **2649**

(By Delegates Hall, Harrison, Greear, Azinger and Kime)

[Introduced February 22, 1995; referred to the

Committee on Finance.]

A BILL to amend and reenact section three, article fifteen,
chapter eleven of the code of West Virginia, one thousand
nine hundred thirty-one, as amended, relating to decreasing
the sales tax to five percent.

*Be it enacted by the Legislature of West Virginia:*

That section three, article fifteen, chapter eleven of the
code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:

**ARTICLE 15. CONSUMERS SALES TAX.**

**§11-15-3. Amount of tax; allocation of tax and transfers.**

(a) For the privilege of selling tangible personal property
and of dispensing 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 shall pay
the amount of tax to the tax commissioner in accordance with the provisions of this article.

(b) Beginning on the first day of ~~March~~ __July,__ one thousand
nine hundred ~~eighty-nine~~ __ninety-five,__ the general consumer sales
and service tax imposed by this article shall be at the rate of
~~six~~ __five__ 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~~

(c) 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~~ __twenty__ cents, both inclusive, one cent.

(2) On each sale, where the monetary consideration is from
~~seventeen~~ __twenty-one__ cents to ~~thirty-three~~ __forty__ cents, both
inclusive, two cents.

(3) On each sale, where the monetary consideration is from
~~thirty-four~~ __forty-one__ cents to ~~fifty~~ __sixty__ cents, both inclusive,
three cents.

(4) On each sale, where the monetary consideration is from
~~fifty-one~~ __sixty-one__ cents to ~~sixty-seven~~ __eighty__ cents, both
inclusive, four cents.

(5) On each sale, where the monetary consideration is from
~~sixty-eight~~ __eighty-one__ cents to ~~eighty-four cents~~ __one dollar,__
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) __(6)__ If the sale price is in excess of one dollar, ~~six
~~__five__ 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~~ __twenty-one__ cents; two cents on the fractional part
of the dollar if in excess of ~~sixteen~~ __twenty__ cents but less than
~~thirty-four~~ __forty-one__ cents; three cents on the fractional part
of the dollar if in excess of ~~thirty-three~~ __forty__ cents but less
than ~~fifty-one~~ __sixty-one__ cents; four cents on the fractional part
of the dollar if in excess of ~~fifty~~ __sixty__ cents but less than
~~sixty-eight~~ __eighty-one__ cents; __and__ five cents on the fractional
part of the dollar if in excess of ~~sixty-seven~~ __eighty__ 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~~ __twenty__ cents, both inclusive, ~~seven~~ __six__ cents; on sales
from one dollar and ~~seventeen~~ __twenty-one__ cents to one dollar and
~~thirty-three~~ __forty__ cents, both inclusive, ~~eight~~ __seven__ cents; on
sales from one dollar and ~~thirty-four~~ __forty-one__ cents to one
dollar and ~~fifty~~ __sixty__ cents, both inclusive, ~~nine~~ __eight__ cents;
on sales from one dollar and ~~fifty-one~~ __sixty-one__ cents to one
dollar and ~~sixty-seven~~ __eighty__ cents, both inclusive, ~~ten~~ __nine__ cents; on sales from one dollar and ~~sixty-eight~~ __eighty-one__ cents
to ~~one dollar and eighty-four cents~~ __two dollars,__ both inclusive,
~~eleven~~ __ten__ cents. ~~and on sales from one dollar and eighty-five
cents to two dollars, both inclusive, twelve cents~~

(d) Separate sales, such as daily or weekly deliveries,
shall not be aggregated for the purpose of computation of the tax
even though such sales are aggregated in the billing or payment
therefor. Notwithstanding any other provision, coin-operated
amusement and vending machine sales shall be aggregated for the
purpose of computation of this tax.

~~(e) Of the taxes collected under the provisions of this
article, one sixth of such taxes collected for the period
subsequent to the thirty-first day of May one thousand nine
hundred eighty-eight prior to the first day of July, one thousand
nine hundred eighty-nine, and not attributable to or resulting
from the repeal of section eleven of this article or attributable
to tax on purchases of gasoline and special fuel, shall be
reasonably allocated, with allowance for refunds and net of
reasonable costs of administration, to and deposited by the tax
commissioner in the special account created in the treasury by
section eight-a, article four-b, chapter twenty-three of this
code, not to exceed the amount sufficient for making timely
repayment of the principal and interest under the first payment
due, by the thirtieth day of June, one thousand nine hundred eighty-nine, in repayment for the moneys previously transferred
from such pneumoconiosis fund.~~

NOTE: The purpose of this bill is to decrease the sales tax
to five percent.

Strike-throughs indicate language that would be stricken
from the present law, and underscoring indicates new language
that would be added.