Date Requested:January 18, 2011
Time Requested:01:56 PM
Agency: State Tax Department
CBD Number: Version: Bill Number: Resolution Number:
2011R1710 Introduced HB2548
CBD Subject: NURSING HOME EXPENSES
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 stated purpose of this bill is to permit an individual taxpayer to decrease his or her federal adjusted gross income up to $1,000 for nursing home expenses for the taxpayer or the taxpayer’s spouse.
    
    As written, this bill would allow a decreasing modification to federal adjusted gross income for nursing home expenses up to $1,000 per year attributable a taxpayer or the taxpayer’s spouse, only to the extent that the amount is not allowable as a deduction when arriving at the taxpayer’s federal adjusted gross income for the taxable year in which the payment is made. The passage of this bill would result in a loss to the General Revenue Fund of roughly $400,000 per year.
    
    If all returns were accepted as filed, there would be no additional administrative cost to the State Tax Department.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2011
Increase/Decrease
(use"-")
2012
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 -400,000
3. Explanation of above estimates (including long-range effect):
    The stated purpose of this bill is to permit an individual taxpayer to decrease his or her federal adjusted gross income up to $1,000 for nursing home expenses for the taxpayer or the taxpayer’s spouse.
    
    As written, this bill would allow a decreasing modification to federal adjusted gross income for nursing home expenses up to $1,000 per year attributable a taxpayer or the taxpayer’s spouse, only to the extent that the amount is not allowable as a deduction when arriving at the taxpayer’s federal adjusted gross income for the taxable year in which the payment is made. The passage of this bill would result in a loss to the General Revenue Fund of roughly $400,000 per year.
    
    If all returns were accepted as filed, there would be no additional administrative cost to the State Tax Department.
    


Memorandum
Person submitting Fiscal Note:
Mark Muchow
Email Address:
kerri.r.petry@wv.gov