H. B. 3030
(By Delegates Guthrie, Burdiss and Kessler)
[Introduced January 9, 2008; referred to the
Committee on Finance.]
A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new article, designated §11-22A-1, relating
to the imposition of a tax on corporations for the transfer of
corporate real estate or equipment within five years of
commencing operations in this state; and, additionally,
imposing the tax on corporations who reassign equipment to
operations outside the United States.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new article, designated §11-22A-1, to read as
follows:
ARTICLE 22A. EXCISE TAX ON CORPORATIONS TRANSFERRING REAL PROPERTY
AND EQUIPMENT.
§11-22A-1. Rate of tax; when and by whom payable; additional
county tax.
Effective on the first day of January, two thousand eight, and
every year thereafter,
in addition to the tax imposed under the
provisions of article twenty-two, chapter eleven of this code,
there is hereby imposed upon
every corporation that, within five
years of commencing operations in this state, transfers real estate
or equipment to another corporation, person or entity, a transfer
tax upon the privilege of transferring title to the real estate or
equipment at the rate of one dollar for each ten dollars' value of
the real estate or equipment so transferred. This state tax shall
be payable at the time of transfer of the title to the real estate
or equipment and shall be collected by the county clerk of the
county wherein the transfer takes place. This tax shall also be
assessed and collected on equipment that is intended for relocation
to operations outside of the United States and shall be collected
prior to the relocation. Moneys received from the tax imposed by
this article shall be transferred to the State Treasurer's Office
to be deposited in the State's General Revenue Fund. The Tax
Commissioner is hereby directed to propose rules for legislative
approval in accordance with the provisions of article three,
chapter twenty-nine-a of this code designed to prescribe forms to
be provided by county clerks to properly record the assessment and
collection of the tax imposed hereunder and to otherwise fully
implement the provisions of this article.
NOTE: The purpose of this bill is to impose a tax on
corporations for the transfer of corporate real estate or equipment
within five years of commencing operations in this state at the
rate of 10% of the value of the real estate or equipment.
Additionally, the tax would be imposed on corporations who reassign
equipment to operations outside the United States.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.