FISCAL NOTE
Date Requested: January 31, 2015 Time Requested: 11:34 AM |
Agency: |
Tax Department, State |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
2734 |
Introduced |
SB386 |
|
CBD Subject: |
Tax |
---|
|
FUND(S):
Medical State Share Fund
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to exclude mobile X-ray services from the health care provider tax.
The bill adds mobile unit to the list of laboratory or X-ray services that are not included in the definition of independent laboratory or X-ray services for purposes of the Health Care Provider Tax. Under the assumption that the exemption only applies to those who fall in the category of independent laboratory or X-ray services and based on available information, the loss in revenue from Health Care Provider Tax would be roughly $120,000 per year to the State Medicaid Share Fund. Absent replacement funding for the State Medicaid program, the total funding decrease including federal funds would be nearly $0.5 million per year. If the provisions were to result in any reclassification of revenues attributable to in-patient and out-patient hospital services to the independent laboratory or X-ray services category due to behavioral modification on the part of taxpayers, the revenue consequences could be more significant.
There would be no additional administrative costs associated with this bill.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2015 Increase/Decrease (use"-") |
2016 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 bill adds mobile unit to the list of laboratory or X-ray services that are not included in the definition of independent laboratory or X-ray services for purposes of the Health Care Provider Tax. Under the assumption that the exemption only applies to those who fall in the category of independent laboratory or X-ray services and based on available information, the loss in revenue from Health Care Provider Tax would be roughly $120,000 per year to the State Medicaid Share Fund. Absent replacement funding for the State Medicaid program, the total funding decrease including federal funds would be nearly $0.5 million per year. If the provisions were to result in any reclassification of revenues attributable to in-patient and out-patient hospital services to the independent laboratory or X-ray services category due to behavioral modification on the part of taxpayers, the revenue consequences could be more significant.
There would be no additional administrative costs associated with this bill.
Memorandum
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov