Date Requested: February 23, 2015
Time Requested: 10:13 AM
Agency: State Tax & Revenue Department
CBD Number: Version: Bill Number: Resolution Number:
2728 Introduced HJR25
CBD Subject: Const. Amendments


FUND(S):

General Revenue Fund, local governments

Sources of Revenue:

General Fund,Other Fund local property tax

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 resolution is to provide that veterans who are one hundred percent disabled from paying ad valorem real property taxes.
    
    The loss of revenue to the State and local governments cannot be readily determined. In most counties, decreased tax revenue due to an increase in the Homestead Exemption would likely be at least partially offset by higher tax rates and tax burdens on other types of property, including both real property taxes and personal property taxes on vehicles, business inventory, machinery and equipment.
    
    Additional administrative costs to the State Tax Department associated with this proposal would be minimal. There would also be some administrative costs at the local level.



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):


    The loss of revenue to the State and local governments cannot be readily determined. In most counties, decreased tax revenue due to an increase in the Homestead Exemption would likely be at least partially offset by higher tax rates and tax burdens on other types of property, including both real property taxes and personal property taxes on vehicles, business inventory, machinery and equipment.
    
    Additional administrative costs to the State Tax Department associated with this proposal would be minimal. There would also be some administrative costs at the local level.



Memorandum


    The stated purpose of this resolution is to provide that veterans who are one hundred percent disabled from paying ad valorem real property taxes.
    
    The proposed resolution does not limit the 100% Homestead Exemption to veterans whose disability is service-related. A veteran who is one hundred percent disabled, regardless of the reason for or cause of the disability, could be eligible for the 100% Homestead Exemption.
    
    Unlike the general Homestead Exemption, the proposed resolution does not extend the exemption to personal property in the form of a motor home.
    



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