SENATE CONCURRENT RESOLUTION NO. 30
[Originating in the Committee on Finance;
reported March 1, 2000]
Requesting the Joint Committee on Government and Finance to
participate in the development of a "Streamlined Sales Tax
System for the Twenty-first Century",
Whereas, State and local tax systems should treat transactions
in a competitively neutral manner: and
Whereas, A simplified sales and use tax system that treats all
transactions in a competitively neutral manner will strengthen and
preserve the sales and use tax as vital state and local revenue
sources and preserve state fiscal sovereignty; and
Whereas, A study by the Center for Business and Economic
Research at the University of Tennessee completed in February 2000,
estimates that by the year 2003 the State of West Virginia will
lose $105 million in sales tax revenues; and
Whereas, Remote sellers should not receive preferential tax
treatment at the expense of local "main street" merchants, nor
should the vendors be burdened with special, discriminatory or
multiple taxes; and
Whereas, The state should simplify sales and use taxes to
reduce the administrative burden of collection; and
Whereas, As states have the sovereign right to set their own
tax policies; and
Whereas, States working together have the opportunity to
develop a more simple, uniform and fair system of state sales and
use taxation without federal government mandates or interference;
now, therefore, be it
Resolved by the Legislature of West Virginia:
That the Legislature recommends that the Joint Committee on
Government and Finance enter into discussions with other states
regarding development of a multi-state, voluntary, streamlined
system for sales and use tax collection and administration; and, be
it
Further Resolved, That these multi-state discussions should
focus on a technology system that would have the capability to
determine whether the transaction is taxable or tax exempt, the
appropriate tax rate applied to the transaction and the total tax
due on the transaction; and, be it
Further Resolved, That such a system should provide a method
for collecting and remitting sales and use taxes to the state and
may provide compensation for the costs of collecting and remitting
sales and use taxes; and, be it
Further Resolved, That discussions between the Joint Committee
on Government and Finance and other states may include, but are not limited to:
(a) The development of a "Joint Request for Information" from
potential public and private parties governing the specifications
for the system;
(b) The mechanism for compensating parties for the development
and operation of the system;
(c) Establishment of minimum statutory simplification measures
necessary for state participation in the system;
(d) Measures to preserve confidentiality of taxpayer
information and privacy rights of consumers; and, be it
Further Resolved, That following these multi-state
discussions, the Joint Committee on Government and Finance may
proceed to issue a joint request for information; and, be it
Further Resolved, The Joint Committee on Government and
Finance shall also recommend whether the state should participate
in such system; and, be it
Further Resolved, That the Joint Committee on Government and
Finance report to the regular session of the Legislature, 2001, on
its findings, conclusions and recommendations, together with drafts
of any legislation necessary to effectuate its recommendations;
and, be it
Further Resolved, That the expenses necessary to conduct this
study, to prepare a report and to draft necessary legislation be paid from legislative appropriations to the Joint Committee on
Government and Finance.