FISCAL NOTE
Date Requested: January 29, 2026
Time Requested: 06:09 PM |
| Agency: |
Tax & Revenue Department, WV State |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1138 |
Introduced |
HB4928 |
|
|---|
| CBD Subject: |
Real and Personal Property; Taxation |
|---|
|
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 lower rent for tenants.
The bill provides that rental housing property is taxed at the same rate as owner-occupied residential property. The revenue loss to the State and local governments from this proposal cannot be accurately determined, but revenue loss to local governments would be significant. We have no data on the number of second properties that are income-producing rental properties.
There would be an increase in costs for county assessors to obtain information on the use of second properties and to the State to create a way to maintain the information. Other additional costs would be minimal.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2026
Increase/Decrease
(use"-") |
2027
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 provides that rental housing property is taxed at the same rate as owner-occupied residential property. The revenue loss to the State and local governments from this proposal cannot be accurately determined, but revenue loss to local governments would be significant. We have no data on the number of second properties that are income-producing rental properties.
There would be an increase in costs for county assessors to obtain information on the use of second properties and to the State to create a way to maintain the information. Other additional costs would be minimal.
Memorandum
The stated purpose of this bill is to lower rent for tenants.
Currently, the W. Va. Code establishes that property be valued based upon usage and location of such property. Per W. Va. Code §11-8-5, residential rental property is to be treated as Class III or Class IV property. Class III and Class IV property is valued in accordance with the structure set out by W. Va. Cod §11-8-6. The bill impacts these sections but does not internally cite or amend those sections entirely.
Municipalities do not charge “additional property taxes” based upon zoning. Rather, W. Va. Code §8-12-2 and §11-8-6d provides municipalities with authority to administer levies based upon the class of property.
Person submitting Fiscal Note: Mark Muchow
Email Address: RADfiscal@wv.gov