FISCAL NOTE
Date Requested: January 11, 2023
Time Requested: 10:32 PM |
| Agency: |
Tax & Revenue Department, WV State |
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| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1554 |
Introduced |
SB39 |
|
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| CBD Subject: |
|
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FUND(S):
General Revenue Fund, local governments
Sources of Revenue:
General Fund local property tax revenue
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 provide that real property occupied by an immediate family member or former spouse of the owner of real property who occupies the real property of the owner exclusively for residential purposes be included in class two for assessment and taxation purposes.
The revenue impact of this proposal on Property Tax collections cannot be determined. We have no data on the value of real property occupied by an immediate family member or former spouse of the owner.
Additional administrative costs would be minimal.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2023
Increase/Decrease
(use"-") |
2024
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 revenue impact of this proposal on Property Tax collections cannot be determined. We have no data on the value of real property occupied by an immediate family member or former spouse of the owner.
Additional administrative costs would be minimal.
Memorandum
The stated purpose of this bill is to provide that real property occupied by an immediate family member or former spouse of the owner of real property who occupies the real property of the owner exclusively for residential purposes be included in class two for assessment and taxation purposes.
A primary concern is whether the Legislature has the authority under West Virginia Constitution Article X, Section 1, to exempt this type of property from ad valorem taxation. The Constitution expressly limits the property class of property “used and occupied by the owner thereof exclusively for residential purposes.” Occupancy of the property by any person other than the owner is not permitted whether it be the owner’s immediate family or former spouse.
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov