H. B. 3309


(By Mr. Speaker, Mr. Kiss and Delegates
R. M. Thompson, Susman, Mahan and Sumner)
[Introduced January 11, 2006; referred to the
Committee on Finance.]



A BILL to amend and reenact §11-13-2 of the Code of West Virginia, 1931, as amended; and to amend said code by adding thereto a new section, designated §29-12-13a, all relating to exempting mental-health retardation centers from payment of the privilege tax; and providing that mental-health retardation centers are covered by the Board of Risk and Insurance Management without the requirement to pay a premium.

Be it enacted by the Legislature of West Virginia:
That §11-13-2 of the Code of West Virginia, 1931, as amended, be amended and reenacted; and, to amend said code by adding thereto a new section, designated §29-12-13a, all to read as follows:
CHAPTER 11. TAXATION.

ARTICLE 13. BUSINESS AND OCCUPATION TAX.

§11-13-2. Imposition of privilege tax.

(a) Imposition of tax. - There is hereby levied and shall be collected annual privilege taxes against the persons, on account of their business and other activities, and in the amount to be determined by the application of rates against the measures of tax as set forth in sections two-d, two-e, two-f, two-m, two-n and two-o of this article: Provided, That, notwithstanding any provision of this code to the contrary, mental health-mental retardation centers as provided in article two-a, chapter twenty-seven of this code, are exempt from the imposition of tax provided in this article.
(b) If any person liable for any tax under section two-m shall ship or transport his or her products or any part thereof out of the state without making sale of such products, the value of the products in the condition or form in which they exist immediately before transportation out of the state shall be the basis for the assessment of the tax imposed in the applicable section, except in those instances in which another measure of the tax is expressly provided. The Tax Commissioner shall prescribe equitable and uniform rules for ascertaining the value.
(c) In determining value, however, as regards sales from one to another of affiliated companies or persons, or under other circumstances where the relation between the buyer and seller is such that the gross proceeds from the sale are not indicative of the true value of the subject matter of the sale, the Tax Commissioner shall prescribe uniform and equitable rules for determining the value upon which the applicable privilege tax shall be levied, corresponding as nearly as possible to the gross proceeds from the sale of similar products of like quality or character where no common interest exists between the buyer and seller but the circumstances and conditions are otherwise similar.
CHAPTER 29. MISCELLANEOUS BOARDS AND OFFICERS.

ARTICLE 12. STATE INSURANCE.

§29-12-13a. Mental health-mental retardation centers exempt from payment of premiums.

Notwithstanding any other provision of this code to the contrary, mental health-mental retardation centers provided under the provisions of article two-a, chapter twenty-seven of this code are exempt from the payment of any premium under the provisions of this article and are otherwise subject to the protections and coverages of this article.