Date Requested:January 14, 2014
Time Requested:07:15 PM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2014R1622 Introduced HB4159
CBD Subject: PERSONAL INCOME TAX UPDATE
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 update the meaning of federal adjusted gross income and certain other terms used in the West Virginia Personal Income Tax Act and to specify an effective date.
    
     As written, this bill will update West Virginia’s Personal Income Tax Law with the laws of the United States, in effect prior to January 1, 2014, that relate to the determination of income for federal income tax purposes. That is, State law will conform with federal statutes for changes made before January 1, 2014. Federal tax law provisions enacted in 2013 that have an impact on State revenue were included in the Governor’s official revenue estimates for FY2015.
    
     Additional administrative costs to the State Tax Department associated with this bill will be minimal.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2014
Increase/Decrease
(use"-")
2015
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 will update West Virginia’s Personal Income Tax Law with the laws of the United States, in effect prior to January 1, 2014, that relate to the determination of income for federal income tax purposes. That is, State law will conform with federal statutes for changes made before January 1, 2014. Federal tax law provisions enacted in 2013 that have an impact on State revenue were included in the Governor’s official revenue estimates for FY2015. The Federal law changes in 2013 were primarily to items not associated with the determination of federal adjusted gross income, the starting point for the West Virginia Personal Income Tax. Thus, the estimated cost in FY2015 Personal Income Tax revenue attributable to conformity with the federal statutes that were enacted prior to January 1, 2014 is minimal.
    
     Additional administrative costs to the State Tax Department associated with this bill will be minimal.
    


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