H. B. 2496
(By Delegate Warner)
[Introduced March 11, 1997; referred to the
Committee on Finance.]
A BILL to amend and reenact section one, article six, chapter
eleven of the code of West Virginia, one thousand nine
hundred thirty-one, as amended; and to further amend said
article by adding thereto a new section, designated section
seven-a, all relating to tax assessments of commercial motor
vehicles; expanding coverage for imposition of an ad valorem
tax on public service businesses to include commercial
vehicles subject to proportional registration agreements
involving other states by virtue of engaging in interstate
commerce, and those involved solely in intrastate commerce;
setting forth a formula to calculate the tax.
Be it enacted by the Legislature of West Virginia:
That section one, article six, chapter eleven of the code of
West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted; and that said article be further
amended by adding thereto a new section, designated section
seven-a, all to read as follows:
ARTICLE 6. ASSESSMENT OF PUBLIC SERVICE BUSINESSES.
§11-6-1. Returns of property to board of public works.
(a) On or before the first day of May in each year a return
in writing shall be filed with the board of public works: (1) By
the owner or operator of every railroad, wholly or in part within
this state; (2) by the owner or operator of every railroad bridge
upon which a separate toll or fare is charged; (3) by the owner
or operator of every car or line of cars used upon any railroad
within the state for transportation or accommodation of freight
or passengers, other than
such the owners or operators as may own
or operate a railroad within the state; (4) by the owner or
operator of every express company or express line, wholly or in
part within this state, used for the transportation by steam or
otherwise of freight and other articles of commerce; (5) by the
owner or operator of every pipeline, wholly or in part within
this state, used for the transportation of oil or gas or water,
whether
such the oil or gas or water be owned by
such the owner
or operator or not, or for the transmission of electrical or
other power, or the transmission of steam or heat and power or of
articles by pneumatic or other power; (6) by the owner or operator of every telegraph or telephone line, wholly or in part
within this state, except private lines not operated for
compensation; (7) by the owner and operator of every gas company
and electric lighting company furnishing gas or electricity for
lighting, heating or power purposes; (8) by the owner or operator
of hydroelectric companies for the generation and transmission of
light, heat or power; (9) by the owner or operator of water
companies furnishing or distributing water;
and (10) by the owner
or operator of all other public service corporations or persons
engaged in public service business whose property is located,
wholly or in part, within this state;
and (11) by the owner or
operator of every truck or semitrailer used as a commercial motor
vehicle in the transportation of property within this state. For
the purposes of this article, commercial motor vehicle is defined
as those vehicles registered under a proportional registration
agreement pursuant to the provisions of section ten-a, article
two, chapter seventeen-a of this code and vehicles that would
otherwise be subject to registration under a proportional
registration agreement as provided in section ten-a except that
the vehicle is only engaged in intrastate commerce. For the
purposes of ad valorem taxation under the provisions of this
article, commercial motor vehicles are classified as a separate
and distinct class of tangible personal property and the procedure for determining the valuation thereof is exclusively
provided for under section seven-aeight of this article.
(b) The words "owner or operator," as applied herein to
railroad companies, shall include every railroad company
incorporated by or under the laws of this state for the purpose
of constructing and operating a railroad, or of operating part of
a railroad within this state, whether
such the railroad or any
part of it be in operation or not; and shall also include every
other railroad company, or persons or associations of persons,
owning or operating a railroad or part of a railroad in this
state on which freight or passengers, or both, are carried for
compensation. The word "railroad," as used herein includes every
street, city, suburban or electric or other railroad or railway.
(c) The words "owner or operator," as applied herein to
express companies, shall include every express company
incorporated by or under the laws of this state, or doing
business in this state, whether incorporated or not, and any
person or association of persons, owning or operating any express
company or express line upon any railroad or otherwise, doing
business partly or wholly within this state.
(d)
Such The return shall be signed and sworn to by
such the
owner or operator if a natural person, or, if
such the owner or
operator shall be a corporation, shall be signed and sworn to by its president, vice president, secretary or principal accounting
officer.
(e) The return required by this section of every
such owner
or operator shall cover the year ending on the thirty-first day
of December, next preceding, and shall be made on forms
prescribed by the board of public works, which board is hereby
invested with full power and authority and it is hereby made its
duty to prescribe
such the forms as will require from any owner
or operator herein mentioned
such information as in the judgment
of the board may be of use to it in determining the true and
actual value of the properties of
such the owners or operators.
§11-6-78a. Same - Commercial motor vehicles.
(a) In the case of commercial motor vehicles used for the
transportation of property by owners or operators, the return
shall show for each commercial vehicle operator the total miles
driven in West Virginia and the total miles driven in any other
states as reported in the most recent taxable year to the
division of motor vehicles pursuant to any proportional
registration agreement on file therewith. The return shall,
additionally, show the gross capital cost of the commercial
vehicle to the purchaser thereof.
(b) Ad valorem taxes provided for hereunder shall be
determined as follows: (1) The gross capital cost of a commercial vehicle shall be multiplied by a percentage factor representing
the remainder of the vehicle's value after depreciation according
to a depreciation schedule annually prepared and distributed by
the tax commissioner; (2) for a trailer, semitrailer or road
tractor registered in this state as part of a fleet registered
under any proportional registration agreement under the
provisions of section ten-a, article two, chapter seventeen-a of
this code, the tax shall be determined by multiplying the
assessed value by the fraction comprised of a numerator
representing the total miles driven in West Virginia in the
taxable year and a denominator representing the total miles
driven in the taxable year by the commercial motor vehicle
operator during times property was being transported for
commercial purposes, as reported to the division of motor
vehicles pursuant to any proportional registration agreement on
file therewith.
NOTE: The purpose of this bill is to expand ad valorem
taxation for public service businesses to include commercial
motor vehicles involved in interstate commerce that are required
to be registered on an apportionment basis pursuant to a
proportional registration agreement with another state or states
as well as to vehicles engaged solely in intrastate commerce. The amendment to section one defines "commercial motor vehicle"
for the purpose of the imposition of the tax. Section eight-a
sets forth the formula for calculating the tax to be paid.
Strike-throughs indicate language that would be stricken
from the present law, and underscoring indicates new language
that would be added.
§11-6-8a is new; therefore, strike-throughs and underscoring
have been omitted.