Date Requested:February 15, 2013
Time Requested:12:51 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R1190 Introduced HB2180
CBD Subject: AUTO DISABILITY EQUIPMENT TAX EXEMPT
FUND(S)
General Revenue Fund, State Road Fund
Sources of Revenue
General Fund,Other Fund State Road 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 exclude special equipment installed in a motor vehicle for the use by a person with physical disabilities from the sales and use tax. The bill also excludes the value of equipment when determining the value of the vehicle for imposition of the tax on the privilege of effecting the certification of the title of the vehicle.
    
     Due to the broad nature of this bill, we are unable to accurately estimate the loss in either sales tax revenue to the General Revenue Fund or sales tax revenue to the State Road Fund. The bill does not indicate what is classified as special equipment. Nor, does the bill define physical disability. Also, this bill would exempt repair and replacement parts for such equipment.
    
     Additional administrative costs to the State Tax Department would be minimal during the current fiscal year due to notifying taxpayers of the new exemption. Thereafter, there would be no additional administrative costs to the Department.
    

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):
    
     Due to the broad nature of this bill, we are unable to accurately estimate the loss in either sales tax revenue to the General Revenue Fund or sales tax revenue to the State Road Fund. The bill does not indicate what is classified as special equipment. Nor, does the bill define physical disability. Also, this bill would exempt repair and replacement parts for such equipment.
    
     Additional administrative costs to the State Tax Department would be minimal during the current fiscal year due to notifying taxpayers of the new exemption. Thereafter, there would be no additional administrative costs to the Department.


Memorandum
Person submitting Fiscal Note:
Mark B. Muchow
Email Address:
Roger.D.Cox@wv.gov
     The stated purpose of this bill is to exclude special equipment installed in a motor vehicle for the use by a person with physical disabilities from the sales and use tax. The bill also excludes the value of equipment when determining the value of the vehicle for imposition of the tax on the privilege of effecting the certification of the title of the vehicle.
    
     The bill does not indicate what is classified as special equipment. For example, is the special equipment used to operate a motor vehicle by the person with disabilities or could it also be used by passengers? Also, the bill does not indicate what is classified as a physical disability.