FISCAL NOTE
Date Requested: February 24, 2021
Time Requested: 03:48 PM |
| Agency: |
Auditor, State of WV |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2218 |
Introduced |
SB324 |
|
|---|
| CBD Subject: |
|
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FUND(S):
Local Funds
Sources of Revenue:
Other Fund Local Government - Business and Occupation Tax
Legislation creates:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of proposed Senate Bill 324 is to clarify that West Virginia follows a market-based approach to municipal business and occupation taxation, in line with rulings of the Supreme Court of the United States recognizing that the national economy has changed dramatically with the growth of the internet.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2021
Increase/Decrease
(use"-") |
2022
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):
We do not have records available to us which would allow us to reasonably estimate what the financial impacts would be on municipal budgets of the various municipals within West Virginia. However, we do believe the passage and implementation of the Bill could result in a reduction of receipts of business and occupation taxes by municipalities since clients or customers living outside the confines of a municipality would not have sales made to them being including by the business in the calculation of municipal business and occupation taxes due from the business.
Memorandum
We have no additional comments regarding the proposed legislation.
Person submitting Fiscal Note: Michael E. Sizemore, CPA
Email Address: Mike.Sizemore@wvsao.gov