Date Requested: January 21, 2015
Time Requested: 10:44 AM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2387 Introduced SB266
CBD Subject: Tax


FUND(S):

General Revenue Fund, State Road Fund

Sources of Revenue:

General Fund,Other Fund State Road 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 eliminate the Consumer Sales and Service Tax exemption on purchases of certain materials by a second party in construction or maintenance of a highways project for the 2015 fiscal year, and to resume the exemption for the 2016 fiscal year.
    
    According to our interpretation of the bill, the annual General Revenue Fund sales tax transfer to the State Road Fund would be suspended for one year in FY2016. The one-time $11.5 million gain to the General Revenue Fund is incorporated in the official revenue estimates for FY2016.
    
    There would no additional administrative cost incurred by the State Tax Department.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2015
Increase/Decrease
(use"-")
2016
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


Explanation of above estimates (including long-range effect):


    According to our interpretation of the bill, the annual General Revenue Fund sales tax transfer to the State Road Fund would be suspended for one year in FY2016. The one-time $11.5 million gain to the General Revenue Fund is incorporated in the official revenue estimates for FY2016.
    
    There would no additional administrative cost incurred by the State Tax Department.
    



Memorandum


    



    Person submitting Fiscal Note: Mark Muchow
    Email Address: kerri.r.petry@wv.gov