Date Requested: February 12, 2015
Time Requested: 01:13 PM
Agency: Tax Department, State
CBD Number: Version: Bill Number: Resolution Number:
2986 Introduced HB2704
CBD Subject: Tax


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 increase the consumer sales and use taxes by one cent (from six percent to seven percent), with certain exceptions. The tax increase authorized by this bill sunsets July 1, 2019.
    
    According to our interpretation of the bill, the increase in the consumer sales and use taxes will increase the General Revenue Fund by roughly $210 million in FY2016, $220 million in FY2017, $230 million in FY2018, and $240 million in FY2019.
    
    Additional administrative costs to the State Tax Department will be $5,000 in FY2015.



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 5,000 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 5,000 0 0
2. Estimated Total Revenues 0 210,000,000 0


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


    According to our interpretation of the bill, the increase in the consumer sales and use taxes will increase the General Revenue Fund by roughly $210 million in FY2016, $220 million in FY2017, $230 million in FY2018, and $240 million in FY2019.
    
    Additional administrative costs to the State Tax Department will be $5,000 in FY2015.
    



Memorandum


    



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