Senate Bill No. 419
(By Senator Craigo, Boley, Deem, Sprouse, Ball, Dawson,
Mitchell, Minear, Redd, Plymale, Walker, Snyder, Kessler, Love and
Edgell)
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[Introduced February 7, 2000; referred to the Committee
on Finance.]
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A BILL to amend and reenact section two, article nineteen, 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
three, all relating to the repeal of the soft drinks tax over
a period of five years.
Be it enacted by the Legislature of West Virginia:
That section two, article nineteen, 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 three, to read as follows:
ARTICLE 19. SOFT DRINKS TAX.
§11-19-2. Excise tax on bottled soft drinks, syrups and dry
mixtures; disposition thereof.
For the purpose of providing revenue for the construction,
maintenance and operation of a four-year school of medicine,
dentistry and nursing of West Virginia University, an excise tax is
hereby levied and imposed on and after midnight of the last day of
June one thousand nine hundred fifty one, upon the sale, use,
handling or distribution of all bottled soft drinks and all soft
drink syrups, whether manufactured within or without this state, as
follows:
(1) On each bottled soft drink, a tax of one cent on each
sixteen and nine-tenths fluid ounces, or fraction thereof, or on
each one-half liter, or fraction thereof contained therein;
(2) On each gallon of soft drink syrup, a tax of eighty cents,
and in like ratio on each part gallon thereof, or on each four
liters of soft drink syrup a tax of eighty-four cents, and in like
ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of one cent or on each 28.35
grams, or fraction thereof, a tax of one cent.
Any person manufacturing or producing within this state any
bottled soft drink or soft drink syrup for sale within this state
and any distributor, wholesale dealer or retail dealer or any other
person who is the original consignee of any bottled soft drink or
soft drink syrup manufactured or produced outside this state, or
who brings such drinks or syrups into this state, shall be liable
for the excise tax hereby imposed. The excise tax hereby imposed
shall not be collected more than once in respect to any bottled
soft drink or soft drink syrup manufactured, sold, used or
distributed in this state.
All revenue collected by the commissioner under the provisions
of this article, less such costs of administration as are
hereinafter provided for, shall be paid by him into a special
medical school fund which is hereby created in the state treasury,
to be used solely for the construction, maintenance and operation
of a four-year school of medicine, dentistry and nursing, as
otherwise provided by law.
§11-19-3. Repeal of tax; rates of tax.
(a) On and after the first day of July, two thousand five, the
tax imposed by this article is void and of no further effect.
Notwithstanding any other section of this article to the contrary,
on and after the first day of July, two thousand, the rate of tax imposed upon the sale, use, handling or distribution of all bottled
soft drinks and all soft drink syrups, whether manufactured within
or without this state shall be governed by the provision of this
section.
(b) On and after the first day of July, two thousand, the rate
of tax imposed in section two of this article upon the sale, use,
handling or distribution of all bottled soft drinks and all soft
drink syrups, whether manufactured within or without this state
shall be as follows:
(1) On each bottled soft drink, a tax of five sixths of one
cent on each sixteen and nine-tenths fluid ounces, or fraction
thereof, or on each one-half liter, or fraction thereof contained
therein;
(2) On each gallon of soft drink syrup, a tax of sixty-seven
cents, and in like ratio on each part gallon thereof, or on each
four liters of soft drink syrup a tax of seventy cents, and in like
ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of five sixths of one cent or on
each 28.35 grams, or fraction thereof, a tax of five sixths of one
cent.
(c) On and after the first day of July, two thousand one, the rate of tax imposed in section two of this article upon the sale,
use, handling or distribution of all bottled soft drinks and all
soft drink syrups, whether manufactured within or without this
state shall be as follows:
(1) On each bottled soft drink, a tax of two thirds of one
cent on each sixteen and nine-tenths fluid ounces, or fraction
thereof, or on each one-half liter, or fraction thereof contained
therein;
(2) On each gallon of soft drink syrup, a tax of fifty-four
cents, and in like ratio on each part gallon thereof, or on each
four liters of soft drink syrup a tax of fifty-six cents, and in
like ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of two thirds of one cent or on
each 28.35 grams, or fraction thereof, a tax of two thirds of one
cent.
(d) On and after the first day of July, two thousand two, the
rate of tax imposed in section two of this article upon the sale,
use, handling or distribution of all bottled soft drinks and all
soft drink syrups, whether manufactured within or without this
state shall be as follows:
(1) On each bottled soft drink, a tax of one half of one cent on each sixteen and nine-tenths fluid ounces, or fraction thereof,
or on each one-half liter, or fraction thereof contained therein;
(2) On each gallon of soft drink syrup, a tax of forty-one
cents, and in like ratio on each part gallon thereof, or on each
four liters of soft drink syrup a tax of forty-two cents, and in
like ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of one half of one cent or on
each 28.35 grams, or fraction thereof, a tax of one half of one
cent.
(e) On and after the first day of July, two thousand three,
the rate of tax imposed in section two of this article upon the
sale, use, handling or distribution of all bottled soft drinks and
all soft drink syrups, whether manufactured within or without this
state shall be as follows:
(1) On each bottled soft drink, a tax of one third of one cent
on each sixteen and nine-tenths fluid ounces, or fraction thereof,
or on each one-half liter, or fraction thereof contained therein;
(2) On each gallon of soft drink syrup, a tax of twenty-eight
cents, and in like ratio on each part gallon thereof, or on each
four liters of soft drink syrup a tax of twenty-eight cents, and in
like ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of one third of one cent or on
each 28.35 grams, or fraction thereof, a tax of one third of one
cent.
(f) On and after the first day of July, two thousand four, the
rate of tax imposed in section two of this article upon the sale,
use, handling or distribution of all bottled soft drinks and all
soft drink syrups, whether manufactured within or without this
state shall be as follows:
(1) On each bottled soft drink, a tax of one sixth of one cent
of each sixteen and nine-tenths fluid ounces, or fraction thereof,
or on each one-half liter, or fraction thereof contained therein;
(2) On each gallon of soft drink syrup, a tax of fifteen
cents, and in like ratio on each part gallon thereof, or on each
four liters of soft drink syrup a tax of fourteen cents, and in
like ratio on each part four liters thereof; and
(3) On each ounce by weight of dry mixture or fraction thereof
used for making soft drinks, a tax of one sixth of one cent or on
each 28.35 grams, or fraction thereof, a tax of one sixth of one
cent.
NOTE: The purpose of this bill is to repeal the soft drinks
tax over a period of five years.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.
§11-19-3 is new; therefore, strike-throughs and underscoring
have been omitted.