FISCAL NOTE

Date Requested: February 08, 2018
Time Requested: 01:42 PM
Agency: Tax & Revenue Department, WV State
CBD Number: Version: Bill Number: Resolution Number:
2315 Introduced HB4470
CBD Subject: Taxation


FUND(S):

State Road Fund

Sources of Revenue:

Other Fund State Road Fund

Legislation creates:

Decreases Existing Revenue



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The stated purpose of this bill is to exempt from the sales tax all-terrain vehicles and utility terrain vehicles used as farm equipment.
    
    The passage of this bill would add an additional exemption to the 6 percent Motor Vehicle Sales Tax. The exemption would only apply to all-terrain vehicles and utility terrain vehicles which receive a farm-use exemption certificate under W.Va. Code 17A-3-2. Per our interpretation, passage of this bill would have a minimal impact on State Road Fund Revenues.
    
    There will be no additional administrative costs incurred by the State Tax Department. However, there may be additional administrative costs incurred by the Division of Motor Vehicles.
    
    



Fiscal Note Detail


Effect of Proposal Fiscal Year
2018
Increase/Decrease
(use"-")
2019
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 passage of this bill would add an additional exemption to the 6 percent Motor Vehicle Sales Tax. The exemption would only apply to all-terrain vehicles and utility terrain vehicles which receive a farm-use exemption certificate under W.Va. Code 17A-3-2. Per our interpretation, passage of this bill would have a minimal impact on State Road Fund Revenues.
    
    There will be no additional administrative costs incurred by the State Tax Department. However, there may be additional administrative costs incurred by the Division of Motor Vehicles.
    
    



Memorandum


    



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