FISCAL NOTE
Date Requested: January 11, 2024
Time Requested: 09:14 PM |
| Agency: |
Tax & Revenue Department, WV State |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1771 |
Introduced |
HB4353 |
|
|---|
| CBD Subject: |
Natural Resources |
|---|
|
FUND(S):
General Revenue Fund
Sources of Revenue:
General Fund
Legislation creates:
Decreases Existing Revenue, Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to exempt daylight fluorescent orange outerwear purchases from sales tax.
Based on our interpretation of the bill, exempting daylight fluorescent or blaze orange outerwear from Consumers Sales Tax could result in a decrease to the General Revenue Fund of up to $1.2 million in FY2025 and $3.0 million in subsequent fiscal years. This is an estimate based on registered hunters purchasing one new piece of daylight fluorescent or blaze orange outwear per year.
Additional administrative costs incurred by the State Tax Department would be $1,000 in FY2024.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2024
Increase/Decrease
(use"-") |
2025
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
1,000 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
1,000 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
-1,200,000 |
-3,000,000 |
Explanation of above estimates (including long-range effect):
Based on our interpretation of the bill, exempting daylight fluorescent or blaze orange outerwear from Consumers Sales Tax could result in a decrease to the General Revenue Fund of up to $1.2 million in FY2025 and $3.0 million in subsequent fiscal years. This is an estimate based on registered hunters purchasing one new piece of daylight fluorescent or blaze orange outwear per year.
Additional administrative costs incurred by the State Tax Department would be $1,000 in FY2024.
Memorandum
The stated purpose of this bill is to exempt daylight fluorescent orange outerwear purchases from sales tax.
This bill may have an issue with the Streamlined Sales and Use Tax Agreement.
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov