H. B. 3038
(By Delegate Michael)
[Introduced March 28, 2001; referred to the
Committee on Finance.]
A BILL to amend article twenty-one, chapter eleven of the code of
West Virginia, one thousand nine hundred thirty-one, as
amended, by adding thereto a new section, designated section
twelve-d, relating to providing income tax credit for senior
citizens with unreimbursed prescription drug expenses; making
credit refundable even if it exceeds tax liability; requiring
commissioner of tax and revenue to notify qualified claimants
of potential eligibility.
Be it enacted by the Legislature of West Virginia:
That article twenty-one, chapter eleven of the code of West
Virginia, one thousand nine hundred thirty-one, as amended, be
amended by adding thereto a new section, designated section
twelve-d, to read as follows:
ARTICLE 21. PERSONAL INCOME TAX.
§11-21-12d. Tax credit for unreimbursed prescription drug expenses
of senior citizens with income of $16,000 or less.
(a) A resident who has attained the age of sixty-five years or
older on or before the last day of the tax year, and who has
adjusted gross annual income of sixteen thousand dollars or less
shall be allowed a credit against the tax imposed by this article,
in an amount up to six hundred dollars of the amount spent on
purchasing prescription drugs in the tax year, less reimbursement
for the expense from other sources. A claimant's spouse residing
at the same address as claimant shall also be eligible for the
prescription drug credit and the eligible spouse shall calculate
the credit using the same income as that used by the claimant. The
credit shall be refundable even if the amount of the credit exceeds
the individual's tax liability.
(b) The commissioner of tax and revenue or the commissioner's
authorized employees or agents shall determine whether any taxpayer
filing a return who has not applied for the credit allowed pursuant
to this sections may qualify for the credit, and shall notify any
qualified claimant of his or her potential eligibility, where the
commissioner determines potential eligibility exists.
(c) The commissioner shall propose rules for legislative
approval in accordance with the provisions of article three,
chapter twenty-nine-a of this code, and is authorized to promulgate
emergency rules pursuant to the provisions of section fifteen, article three, chapter twenty-nine-a, to implement the provisions
of this section.
NOTE:
The purpose of this bill is to
provide for a tax credit
of up to $600 for unreimbursed prescription drug expenses for
elderly persons with adjusted gross annual income of $16,000 or
less. The bill provides for credit to be refunded to the claimant
even if the amount of the credit exceeds the claimant's tax
liability.
This section is new; therefore, strike-throughs and
underscoring have been omitted.