Date Requested:March 07, 2013
Time Requested:10:13 AM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R2533 Introduced SB440
CBD Subject: DISCLOSURE OF SPECIFIED TAX INFORMATION
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 authorize the disclosure of specified tax information by the Attorney General to specified persons relevant to enforcement of Tobacco Master Settlement Agreement and provide for a written agreement for the disclosure and protection of confidential taxpayer information between the Tax Commissioner and Auditor to be used in offset programs aimed at collecting unpaid and delinquent state taxes.
    
     As written, the bill (1) authorizes the State Tax Commissioner to disclose certain Taxpayer information to the Attorney General that is “necessary or relevant to administration, implementation, enforcement, defense, or settlement and arbitration of the Tobacco Master Settlement Agreement and its related statutory provisions,” (2) provides that the Attorney General, upon consent of the State Tax Commissioner, may disclose the information to parties participating in arbitration or litigation arising under the Tobacco Master Settlement Agreement, and (3) authorizes the State Tax Commissioner to enter into a written exchange agreement with the State Auditor to disclose certain Taxpayer information to facilitate participation in the federal offset program and the State offset program and to facilitate the collection of unpaid and delinquent tax liabilities through offset against State payments due and owing to Taxpayers, vendors, and contractors providing goods and services to the State.
    
     Passage of this bill would preserve monies the State is due under the Tobacco Master Settlement Agreement. Additionally, this bill would result in additional deposits of roughly $500,000 per year to the General Revenue Fund from the redirection of State payments to Taxpayers, vendors, and contractors with delinquent tax liabilities for application against the delinquent tax liability.
    
     Additional administrative costs for the State Tax Department attributable to passage of this bill would be minimal. The State Auditor and Attorney General may incur some additional administrative costs due to passage of this bill.
    

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 0 500,000 500,000
3. Explanation of above estimates (including long-range effect):
     As written, the bill (1) authorizes the State Tax Commissioner to disclose certain Taxpayer information to the Attorney General that is “necessary or relevant to administration, implementation, enforcement, defense, or settlement and arbitration of the Tobacco Master Settlement Agreement and its related statutory provisions, (2) provides that the Attorney General, upon consent of the State Tax Commissioner, may disclose the information to parties participating in arbitration or litigation arising under the Tobacco Master Settlement Agreement, and (3) authorizes the State Tax Commissioner to enter into a written exchange agreement with the State Auditor to disclose certain Taxpayer information to facilitate participation in the federal offset program and the State offset program and to facilitate the collection of unpaid and delinquent tax liabilities through offset against State payments due and owing to Taxpayers, vendors, and contractors providing goods and services to the State.
    
     Passage of this bill would preserve monies the State is due under the Tobacco Master Settlement Agreement. Additionally, this bill would result in additional deposits of roughly $500,000 per year to the General Revenue Fund from the redirection of State payments to Taxpayers, vendors, and contractors with delinquent tax liabilities for application against the delinquent tax liability.
     Additional administrative costs for the State Tax Department attributable to passage of this bill would be minimal. The State Auditor and Attorney General may incur some additional administrative costs due to passage of this bill.


Memorandum
Person submitting Fiscal Note:
Mark B. Muchow
Email Address:
Roger.D.Cox@wv.gov