FISCAL NOTE



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 exempt sales of veterinary medications from sales tax. According to our interpretation, there would be no revenue impact from the passage of this bill. Sales of prescription drugs to consumers, whether for human or animal use, are currently exempt from the Consumers Sales Tax under West Virginia Code §11-15-9(a)(11). Also, purchases of prescription drugs by any health care provider (including veterinarians) licensed to prescribe drugs are exempt from sales tax under W.V. Code §11-15-9i. There would be no additional administrative costs to the State Tax Department from the passage of this bill.



Fiscal Note Detail


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 0


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


The stated purpose of this bill is to exempt sales of veterinary medications from sales tax. According to our interpretation, there would be no revenue impact from the passage of this bill. Sales of prescription drugs to consumers, whether for human or animal use, are currently exempt from the Consumers Sales Tax under West Virginia Code §11-15-9(a)(11). Also, purchases of prescription drugs by any health care provider (including veterinarians) licensed to prescribe drugs are exempt from sales tax under W.V. Code §11-15-9i. There would be no additional administrative costs to the State Tax Department from the passage of this bill.



Memorandum


The stated purpose of this bill is to exempt sales of veterinary medications from sales tax. Sales of prescription drugs to consumers, whether for human or animal use, are currently exempt from the Consumers Sales Tax under West Virginia Code §11-15-9(a)(11). Also, purchases of prescription drugs by any health care provider (including veterinarians) licensed to prescribe drugs are exempt from sales tax under W.V. Code §11-15-9i.



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