FISCAL NOTE
Date Requested: March 16, 2017
Time Requested: 12:43 PM |
| Agency: |
Tax & Revenue Department, WV State |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 3102 |
Introduced |
SB622 |
|
|---|
| CBD Subject: |
Actions, Suits and Liens, Taxation |
|---|
|
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 allow the Tax Commissioner or his designee to withdraw a lien or issue a certificate of release of lien upon certain determinations.
Per our interpretation, there would be minimal revenue loss relating to the passage of this bill.
Additional administrative costs incurred by the State Tax Department are expected to be $90,000 for FY2018 and for each year thereafter.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2017
Increase/Decrease
(use"-") |
2018
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
90,000 |
90,000 |
| Personal Services |
0 |
90,000 |
90,000 |
| 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 |
Explanation of above estimates (including long-range effect):
Per our interpretation, there would be minimal revenue loss relating to the passage of this bill.
Additional administrative costs incurred by the State Tax Department are expected to be $90,000 for FY2018 and for each year thereafter.
Memorandum
The stated purpose of this bill is to allow the Tax Commissioner or his designee to withdraw a lien or issue a certificate of release of lien upon certain determinations.
This bill would be very difficult to administer. Some language lacks clarity which could potentially make all satisfied liens eligible for lien withdrawal. The bill also gives a specific timeframe of sixty days for the release of liens. This is not feasible due to the billing cycles used by Gentax and the lack of Tax Department control over the individual county clerks who record the lien releases. Further, there is no data file of liens, so information on potentially “unenforceable” liens which were filed by the old mainframe system are not readily accessible.
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov