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 repeal the West Virginia Telecommunications Act.
    
    As written, the bill would repeal the 4% gross receipts tax on any business selling or furnishing telegraph, telephone, or other communications services that are subject to regulation by the West Virginia Public Service Commission. The tax is imposed on services determined to not be subject to competition. According to our interpretation, passage of this bill would result in no more than a minimal loss to the General Revenue Fund. The official FY2013 revenue estimate includes $0 in Telecommunications Tax collections.
    
    There would be no administrative costs associated with passage of this bill.
    



Fiscal Note Detail


Effect of Proposal Fiscal Year
2012
Increase/Decrease
(use"-")
2013
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):


    As written, the bill would repeal the 4% gross receipts tax on any business selling or furnishing telegraph, telephone, or other communications services that are subject to regulation by the West Virginia Public Service Commission. The tax is imposed on services determined to not be subject to competition. According to our interpretation, passage of this bill would result in no more than a minimal loss to the General Revenue Fund. The official FY2013 revenue estimate includes $0 in Telecommunications Tax collections. FY2011 collections totaled just $22,520, and year-to-date FY2012 collections total just $50,118 as of mid-January.
    
    There would be no administrative costs associated with passage of this bill.
    



Memorandum


    



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