FISCAL NOTE
Date Requested: January 25, 2019
Time Requested: 01:24 PM |
| Agency: |
Tax & Revenue Department, WV State |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 2505 |
Introduced |
SB436 |
|
|---|
| CBD Subject: |
Taxation |
|---|
|
FUND(S):
General Revenue Fund, local governments
Sources of Revenue:
General Fund local property tax revenue
Legislation creates:
Decreases Existing Revenue
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 property tax certain real properties in this state owned by a nonprofit corporation with the purpose of organizing, support and maintain a contemporary agricultural and industrial fair and exposition.
The State Tax Department cannot quantify the revenue loss associated with this proposal. Assuming the exemption would only apply to property of the State Fair and county fairs, the revenue loss would not be significant.
Additional administrative costs to the State Tax Department and local governments would be minimal.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2019
Increase/Decrease
(use"-") |
2020
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 State Tax Department cannot quantify the revenue loss associated with this proposal. Assuming the exemption would only apply to property of the State Fair and county fairs, the revenue loss would not be significant.
Additional administrative costs to the State Tax Department and local governments would be minimal.
Memorandum
The stated purpose of this bill is to exempt from property tax certain real properties in this state owned by a nonprofit corporation with the purpose of organizing, support and maintain a contemporary agricultural and industrial fair and exposition.
Article X, Section 1 of the W. Va. Constitution provides that the Legislature may exempt property used for educational, literary, scientific, religious or charitable purposes. This bill would exempt property based on the status of its owner, rather than on its use, which may be a violation of the Constitutional provisions regarding allowable exemptions.
Person submitting Fiscal Note: Mark Muchow
Email Address: kerri.r.petry@wv.gov