FISCAL NOTE
FUND(S):
General Revenue Fund, local governments
Sources of Revenue:
General Fund,Other Fund local property tax
Legislation creates:
A New Program
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to provide an election for county commissions to allow resident homeowners, sixty-five years old or older, to defer the payment of property tax increases to their residential property during their lifetime.
The revenue impact of this proposal on the State and local governments cannot be determined. The use of this deferment would be a decision made on a county-by-county basis.
Additional administrative costs cannot be determined.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2007
Increase/Decrease
(use"-") |
2008
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The revenue impact of this proposal on the State and local governments cannot be determined. The use of this deferment would be a decision made on a county-by-county basis. In addition, there is no data available to project the life span of resident homeowners who are sixty-five years of age or older. Currently, there are 214,445 taxpayers receiving the Homestead Exemption.
Additional administrative costs cannot be determined.
Memorandum
The stated purpose of this bill is to provide an election for county commissions to allow resident homeowners, sixty-five years old or older, to defer the payment of property tax increases to their residential property during their lifetime.
The bill, as written, does not state that the proposal only applies to tax increases on the person’s residence. As a result, the deferment may also apply to property owned by the homeowner but used for commercial purposes. The only reference to the property owner’s residence is that the deferred taxes are to be recaptured, without interest, when the residence is sold or transferred.
Person submitting Fiscal Note: Mark Muchow
Email Address: kpetry@tax.state.wv.us