Date Requested:March 07, 2013
Time Requested:12:10 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2013R2009 Introduced SB146
CBD Subject: FINES AND FEES THROUGH TAX COMMISSIONER
FUND(S)
General Revenue Fund, Magistrate Fines and Fees Collection Fund
Sources of Revenue
General Fund,Special Fund
Legislation creates:
A New Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

     The purpose of this bill is to permit magistrate courts, like municipal courts, to collect unpaid costs, fines, forfeitures and penalties it has imposed on a defendant. The bill permits those unpaid costs, fines, forfeitures and penalties be deducted from a defendant’s income tax refund. The bill creates the Magistrate Fines and Fees Collection Fund. The bill permits the Tax Commissioner to charge an administrative fee. The bill provides rule-making authority.
    
     As written, the bill requires refunds from Personal Income Tax to be withheld to pay any unpaid costs, fines, forfeitures or penalties assessed upon an individual due to conviction in Magistrate Court. According to our interpretation, there would be no impact on General Revenue Fund . Magistrate Courts would receive some additional money from the collection of these fees and fines by the State Tax Department.
    
     Currently, the State Tax Department participates in a program to withhold fees for municipal courts. According to the most recent data, total annual fees of $40,025 were transferred from the State Tax Department to municipal courts in 2012.
    
     Additional administrative costs for the State Tax Department attributable 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):
     As written, the bill requires refunds from Personal Income Tax to be withheld to pay any unpaid costs, fines, forfeitures or penalties assessed upon an individual due to conviction in Magistrate Court. According to our interpretation, there would be no impact on General Revenue Fund . Magistrate Courts would receive some additional money from the collection of these fees and fines by the State Tax Department.
    
     Currently, the State Tax Department participates in a program to withhold fees for municipal courts. According to the most recent data, total annual fees of $40,025 were transferred from the State Tax Department to municipal courts in 2012.
    
     Additional administrative costs for the State Tax Department attributable of this bill would be minimal.
    


Memorandum
Person submitting Fiscal Note:
Mark B. Muscow
Email Address:
Roger.D.Cox@wv.gov
     The purpose of this bill is to permit magistrate courts, like municipal courts, to collect unpaid costs, fines, forfeitures and penalties it has imposed on a defendant. The bill permits those unpaid costs, fines, forfeitures and penalties be deducted from a defendant’s income tax refund. The bill creates the Magistrate Fines and Fees Collection Fund. The bill permits the Tax Commissioner to charge an administrative fee. The bill provides rule-making authority.
    
     The bill’s title fails to mention circuit court clerk but it does so in one place in the bill. The bill fails to clarify at what point costs, fines, forfeitures or penalties are reported, who makes the report and the status of the person about whom the report is made. The bill attempts to cover the costs, fines, forfeitures or penalties upon conviction of a person for criminal offense and which are not paid within 180 day after conviction. There are court appearances other than trial or upon a plea, the costs, fines, forfeitures or penalties differ on each occasion. The bill may intend to embrace both possible sets of costs, fines, forfeitures or penalties but fails to clarify the different possible costs.
    
     There is also some confusion concerning the Tax Commissioner’s fee, what is deposited in the fund, and matters concerning disbursement.
    
     The bill states that “after deduction of the Tax Commissioner’s administration fee, the Tax Commissioner shall remit to the magistrate court all remaining amounts withheld pursuant to this section and the magistrate court shall distribute applicable costs, fines, fees, forfeitures, restitution or penalties owed to the appropriate fund or payee, as applicable and listed in subsection (j), section two-a of this article”. However, there is no subjection (j). The code citation to allocate the money by the magistrate court should be §50-3-2a(g) for the appropriate funds or payees.