HB3300 SFAT #3 Tarr 4-7

Johnson  7909

Senator Tarr moved to amend the bill by striking out the title and substituting therefor a new title, to read as follows:

Eng. House Bill 3300— A BILL to amend and reenact §11-13A-3 and §11-13A-3a of the Code of West Virginia, 1931, as amended; to amend and reenact §11-15-2, §11-15-3, §11-15-3b, §11-15-8, §11-15-9, and §11-15-9h; to amend and reenact §11-15A-2; to amend and reenact §11-17-3 and §11-17-4b; to amend said article by adding thereto new sections, designated §11-21-4g and §11-21-25; to amend and reenact §11B-2-20; to amend said code by adding thereto a new section, designated §11B-2-32; and to amend said code by adding thereto a new section, designated §29-22-9B,  all relating to optimizing  economic efficiency and revenue efficiency of the West Virginia tax structure, across multiple facets of the tax system, and to modernize State taxation to reflect best practices, and standards for an integrated tax system; reducing the personal income tax; providing for revenue replacement measures; relating to the severance tax imposed on the privilege of severing coal, oil, and natural gas for sale, profit or commercial use; specifying classifications of certain natural resources; specifying tiered rates for certain classifications of natural resources; changing the rate of the consumer sales and service tax and use tax; modifying tax on prepared foods; relating to the imposition of the consumers sales and service and the use tax upon the provision of certain professional services; providing for an excise tax on professional legal, engineering, architectural, and accounting services; providing for an excise tax on legal settlements based on a contingency fee agreement; relating to the imposition of the consumer sales and service and use tax on advertising services, electronic data processing, personalized fitness services, and certain high technology services and equipment; modifying the use tax; relating to increasing the excise tax on cigarettes, other tobacco products, and e-cigarette liquid; to phase in a reduction in the rate of personal income tax; to provide that further action of the Legislature is necessary to raise the personal income tax following a reduction; to provide for elimination of the personal income tax upon the occurrence of certain events; providing findings; requiring notification to taxpayers of changes to personal income tax; requiring reporting to the legislature; allowing for inoperability of certain statutory provisions upon complete elimination of the personal income tax; to provide for tax liabilities that existed prior to elimination of personal income tax; providing a tax credit for low income households to offset the sales tax increase; providing for early payment of the credit;  to establish Stabilization and Future Economic Reform Fund; to dedicate certain funding sources to fund; allowing fund to be invested; reallocating surplus revenues to fund upon the occurrence of certain events; to allow budget surplus to be deposited into fund upon obtaining a certain balance in the state revenue shortfall funds; to provide for uses of fund following the elimination of the personal income tax; to provide that Secretary of Tax and Revenue has authority over fund; to allow Secretary of Tax and Revenue to deposit additional amounts into fund upon obtaining a specified balance in the fund; to allow for a reduction in personal income tax brackets upon occurrence of unappropriated revenue; providing for dollar for dollar reduction in personal income tax brackets upon increases in general revenue related to specified events; to allow Legislature to transfer from fund to General Revenue Fund upon the fund reaching a certain balance; to allow fund to be invested;  to reallocate budget surplus at the end of a fiscal year; to allow a percentage of budget surplus to be directed to the fund; to require the Lottery Commission develop a new instant lottery scratch-off game; creating a special revenue account at the Lottery Commission; providing for a transfer of funds from the special revenue account to Stabilization and Future Economic Reform Fund; to allow Lottery Commission to change new instant lottery scratch-off game to allow it to remain competitive; making technical corrections; specifying effective dates; authorizing promulgation of rules; and defining terms.