FISCAL NOTE
Date Requested: January 11, 2024 Time Requested: 10:55 PM |
Agency: |
Tax & Revenue Department, WV State |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
1042 |
Introduced |
HB4569 |
|
CBD Subject: |
|
---|
|
FUND(S):
State Road Fund
Sources of Revenue:
Other Fund State Road Fund
Legislation creates:
Decreases Existing Revenue, Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to exempt from the sales tax all-terrain vehicles and utility terrain vehicles used as farm equipment.
Based on our interpretation, the bill provides for an additional exemption to the 6 percent Motor Vehicle Sales Tax on the sales price of a motor vehicle. The exemption would only apply to all-terrain vehicles and utility terrain vehicles which receive a farm-use exemption certificate under W.Va. Code §17A-3-2. According to our interpretation, passage of this bill would have a minimal impact on State Road Fund revenue.
Additional administrative costs incurred by the State Tax Department will be minimal. However, there may be additional administrative costs incurred by the Division of Motor Vehicles.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2024 Increase/Decrease (use"-") |
2025 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):
Based on our interpretation, the bill provides for an additional exemption to the 6 percent Motor Vehicle Sales Tax on the sales price of a motor vehicle. The exemption would only apply to all-terrain vehicles and utility terrain vehicles which receive a farm-use exemption certificate under W.Va. Code §17A-3-2. According to our interpretation, passage of this bill would have a minimal impact on State Road Fund revenue.
Additional administrative costs incurred by the State Tax Department will be minimal. However, there may be additional administrative costs incurred by the Division of Motor Vehicles.
Memorandum
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov