FUND(S):

General Revenue Fund

Sources of Revenue:

General Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The purpose of this bill is to create a tax deduction for creation of trusts to support children with autism and sets forth the procedure by which such trusts are created.
    
    As written, this bill would allow a decreasing modification of up to $2,000 per year for contributions to a trust fund for the future support of a child with autism. The passage of this bill would result in a loss of less than $30,000 per year in Personal Income Tax revenue beginning in Fiscal Year 2011. In addition, any income earned or withdrawal of funds for intended purposes would be excluded from State income tax.
    
    Additional administrative costs to the State Tax Department from the passage of this bill would be $4,200 in FY2010 due to additional printing and personnel costs. Thereafter, additional administrative costs would be about $3,000 per year due to review and reporting costs.
    



Fiscal Note Detail


Effect of Proposal Fiscal Year
2009
Increase/Decrease
(use"-")
2010
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 4,200 3,000
Personal Services 0 4,000 2,800
Current Expenses 0 200 200
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 -30,000


Explanation of above estimates (including long-range effect):


    The purpose of this bill is to create a tax deduction for creation of trusts to support children with autism and sets forth the procedure by which such trusts are created.
    
    As written, this bill would allow a decreasing modification of up to $2,000 per year for contributions to a trust fund for the future support of a child with autism. The passage of this bill would result in a loss of less than $30,000 per year in Personal Income Tax revenue beginning in Fiscal Year 2011. In addition, any income earned or withdrawal of funds for intended purposes would be excluded from State income tax.
    
    Additional administrative costs to the State Tax Department from the passage of this bill would be $4,200 in FY2010 due to additional printing and personnel costs. Thereafter, additional administrative costs would be about $3,000 per year due to review and reporting costs.
    



Memorandum


    



    Person submitting Fiscal Note: Mark Muchow
    Email Address: kpetry@tax.state.wv.us