FISCAL NOTE

Date Requested: February 22, 2016
Time Requested: 03:56 PM
Agency: Lottery Commission
CBD Number: Version: Bill Number: Resolution Number:
2882 Introduced SB672
CBD Subject: Legal Gaming, Taxation


FUND(S):

General Revenue

Sources of Revenue:

General Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


This bill will increase state revenues by treating traditional lottery prizes [won by nonresidents] as nonresident source income subject to West Virginia personal income tax. The West Virginia State Tax Department is the agency responsible for administering personal income tax collections, and, therefore, is the appropriate agency to address specifics relating to this matter. The Lottery limits its response to the cost and revenue estimates below; numbers reflect prizes requiring withholding [$5,000 and above] claimed at Lottery headquarters by nonresidents.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2016
Increase/Decrease
(use"-")
2017
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 25,000


Explanation of above estimates (including long-range effect):


Please see above. Estimated total revenues based on withholdings collected from prizes totaling $5,000 or more.



Memorandum


Please refer to fiscal notes filed by the Department of Revenue and State Tax Department.



    Person submitting Fiscal Note: Danielle E. Boyd, Managing General Counsel
    Email Address: dboyd@wvlottery.com