Date Requested:February 14, 2013
Time Requested:03:42 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R2033 Introduced SB147
CBD Subject: EXEMPTION TAX FOR MOTOR VEHICLES
FUND(S)
General Revenue Fund, local governments
Sources of Revenue
General Fund,Other Fund Local Property Tax Revenu
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 from taxation motor vehicles owned by members of the Armed Forces of the United States while serving in a designated war zone. The exemption continues for two years after the person has left a war zone.
    
     According to our interpretation, the loss of revenue to the State and local governments due to passage of this bill cannot be readily determined. However, the revenue impact would not be significant.
    
     Additional costs to the State Tax Department or local governments attributable to passage of this bill would be minimal.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2013
Increase/Decrease
(use"-")
2014
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
3. Explanation of above estimates (including long-range effect):
     Passage of this bill would exempt from Personal Property Tax motor vehicles owned by members of the Armed Forces of the United States while serving in a designated war zone. The exemption would continue for two years after the person has left a war zone.
    
     According to our interpretation, the loss of revenue to the State and local governments due to passage of this bill cannot be readily determined. However, the revenue impact would not be significant.
    
     Additional costs to the State Tax Department or local governments attributable to passage of this bill would be minimal.
    


Memorandum
Person submitting Fiscal Note:
Mark B. Muchow
Email Address:
Roger.D.Cox@wv.gov
     The stated purpose of this bill is to exempt from taxation motor vehicles owned by members of the Armed Forces of the United States while serving in a designated war zone. The exemption continues for two years after the person has left a war zone.
    
     Passage of this bill may result in some State Constitutional concerns. Property Tax exemptions in State Constitution are only for property used for certain activities (i.e., educational, literary, scientific, religious or charitable purposes). Since this proposed bill would exempt some vehicles but not all vehicles, the bill would appear to be in conflict with the Constitutional requirement for equal and uniform taxation.