FISCAL NOTE

Date Requested: February 08, 2018
Time Requested: 01:42 PM
Agency: Motor Vehicles, WV Division of
CBD Number: Version: Bill Number: Resolution Number:
2315 Introduced HB4470
CBD Subject: Taxation


FUND(S):

Road Fund

Sources of Revenue:

Special Fund

Legislation creates:





Fiscal Note Summary


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


    The purpose of this bill is to exempt from the sales tax all-terrain vehicles and utility terrain vehicles used as farm equipment.
    
    The Division issued titles for approximately 15,000 ATV/UTVs in fiscal year 2017. The Division estimates that 1% of these vehicles (15,000 X 1% = 150) would qualify for the farm use exemption. The Division collects approximately $500 for each vehicle. The total amount of revenue lost would be $75,000 (150 X $500 = $75,000).
    



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 -75,000 -75,000


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


    Approximate ATV/UTV yearly 15,000
    Estimated % Farm Use 1%
    Total Subject to Exemption 150
    Average Tax per Vehicle $ 500
    Estimated Revenue Reduction $75,000
    



Memorandum


    



    Person submitting Fiscal Note: Raeann Kriner
    Email Address: raeann.k.kriner@wv.gov