SB 617 — Exempting certain meat processes from consumers sales and service tax

CS for SB 617 WEST VIRGINIA LEGISLATURE REGULAR SESSION IntroducedCommittee Substitute for Senate Bill 617 By Senators Smith, Woodrum, Deeds, Hamilton, Rucker,and Taylor,Rucker and[Originating Maroneyin [Introducedthe FebruaryCommittee 1,on 2024;Agriculture and Natural Resources;

referredreported February 8, 2024] CS for SB 617 A BILL to amend and reenact §11-15-9 of the CommitteeCode onof AgricultureWest Virginia, 1931, as amended, relating to exempting the processing of beef, pork, lamb, or goat by a slaughterhouse for an individual owner of the product processed from the consumer sales and Naturalservice Resources;tax.

and then to the Committee on Finance] Intr SB 2024R3441 A BILL to amend and reenact §11-15-9 of the Code of West Virginia, 1931, as amended, relating to exempting the processing of beef, pork, or lamb by a slaughterhouse for an individual owner of the product processed from the consumer sales and service tax.

(4) Sales of vehicles which are titled by the Division of Motor Vehicles and which are Intr1 CS for SB 2024R3441617 subject to the tax imposed by §11-15-3c of this code or like tax;

Intr2 CS for SB 2024R3441617 (F) For purposes of this subsection:

(G) The exemption allowed by this subdivision does not apply to sales of gasoline or special fuel or to sales of tangible personal property or services to be used or consumed in the Intr3 CS for SB 2024R3441617 generation of unrelated business income as defined in Section 513 of the Internal Revenue Code of 1986, as amended.

Provided, however, Intr4 CS for SB 2024R3441617 That sales of building materials or building supplies or other property to any person engaging in the activity of contracting, as defined in this article, which is to be installed in, affixed to, or incorporated by that person or his or her agent into any real property, building, or structure is not exempt under this subdivision;

(15) Sales of property or services to a school which has approval from the Higher Intr5 CS for SB 2024R3441617 Education Policy Commission or the Council for Community and Technical College Education to award degrees, which has its principal campus in this state and which is exempt from federal and state income taxes under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended:

§2011,§ 2011, et seq., as amended, or with drafts issued through the West Virginia special supplement food program for women, infants, and children codified in 42 U.

(A) The processing of another’s data, including all processes incident to processing of data such as keypunching, keystroke verification, rearranging or sorting of previously documented data Intr6 CS for SB 2024R3441617 for the purpose of data entry or automatic processing, and changing the medium on which data is sorted, whether these processes are done by the same person or several persons;

(B) Food purchased or sold by a public or private college or university or by a student organization officially recognized by the college or university to students enrolled at the college or university when the sales are made on a contract basis so that a fixed price is paid for consumption Intr7 CS for SB 2024R3441617 of food products for a specific period of time without respect to the amount of food product actually consumed by the particular individual contracting for the sale and no money is paid at the time the food product is served or consumed;

(25) Sales of food by little leagues, midget football leagues, youth football or soccer leagues, band boosters, or other school or athletic booster organizations supporting activities for Intr8 CS for SB 2024R3441617 grades kindergarten through 12 and similar types of organizations, including scouting groups and church youth groups, if the purpose in selling the food is to obtain revenue for the functions and activities of the organization and the revenues obtained from selling the food is actually used in supporting or carrying on functions and activities of the groups:

and sales of livestock sold at public sales sponsored by breedersbreeders, or registry associationsassociations, or livestock auction markets:

Provided, That the exemption provided in this subdivision may be claimed by presenting to the seller a properly executed Intr9 CS for SB 2024R3441617 exemption certificate;

Intr10 CS for SB 2024R3441617 For the purpose of this subdivision, the term "primary opinion research" means original research in the form of telephone surveys, mall intercept surveys, focus group research, direct mail surveys, personal interviews, and other data-collection methods commonly used for quantitative and qualitative opinion research studies;

(40) Sales of music instructional services by a music teacher and artistic services or artistic performances of an entertainer or performing artist pursuant to a contract with the owner or Intr11 CS for SB 2024R3441617 operator of a retail establishment, restaurant, inn, bar, tavern, sports or other entertainment facility, or any other business location in this state in which the public or a limited portion of the public may assemble to hear or see musical works or other artistic works be performed for the enjoyment of the members of the public there assembled when the amount paid by the owner or operator for the artistic service or artistic performance does not exceed $3,000:

(41) Charges to a member by a membership association or organization which is exempt from paying federal income taxes under Section 501(c)(3) or (c)(6) of the Internal Revenue Code of 1986, as amended, for membership in the association or organization, including charges to members for newsletters prepared by the association or organization for distribution primarily to its members, charges to members for continuing education seminars, workshops, conventions, Intr12 CS for SB 2024R3441617 lectures, or courses put on or sponsored by the association or organization, including charges for related course materials prepared by the association or organization or by the speaker or speakers for use during the continuing education seminar, workshop, convention, lecture, or course, but not including any separate charge or separately stated charge for meals, lodging, entertainment, or transportation taxable under this article:

For purposes of this exemption, the service of providing technical evaluations for compliance with federal and state environmental standards includes Intr13 CS for SB 2024R3441617 those costs of tangible personal property directly used in providing such services that are separately billed to the purchaser of such services and on which the tax imposed by this article has previously been paid by the service provider;

and (51) Sales of services providing the processing of beef, porkpork, lamb, or lambgoat by a slaughterhouse for an individual owner of the product processed.

— Any person having a right or claim to any exemption set forth in this subsection shall first pay to the vendor the tax imposed by this article and then apply to the Tax Commissioner for a refund or credit, or as provided in §11-15-9d of this code and give to the vendor his or her West Virginia direct pay permit number.

Intr14 CS for SB 2024R3441617 (1) Sales of property or services to bona fide charitable organizations who make no charge whatsoever for the services they render:

(2) Sales of services, machinery, supplies, and materials directly used or consumed in the activities of manufacturing, transportation, transmission, communication, production of natural resources, gas storage, generationgeneration, or productionproduction, or selling electric power, provision of a public utility serviceservice, or the operation of a utility serviceservice, or the operation of a utility business, in the businesses or organizations named in this subdivision and does not apply to purchases of gasoline or special fuel;

Provided, That the Intr15 CS for SB 2024R3441617 amendments to subdivision (6), subsection (b) of this section take effect upon passage of this act of the Legislature and shall be construed to prohibit on and after January 1, 2018, all transfers to the State Road Fund established in the State Treasury pursuant to section 52, article VI of the Constitution of West Virginia, of the taxes imposed by §11-15-1 et seq.

NOTE:

The purpose of this bill is to exempt the processing of beef, pork, or lamb by a slaughterhouse for an individual owner of the product processed from the Consumer Sales and Service Tax.

Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.