West Virginia 2017 First Special Session Status: Passed Senate

SB 1007 — Tax Reform Act of 2017

Last action — To House Finance

  1. ✓
    Introduced
  2. ✓
    In Committee
  3. 3
    Passed Senate
  4. 4
    Passed House of Delegates
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2017 First Special Session. It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Bill Text

What changed in the latest version

1526 added · 1630 removed

Plain-language change summary

The bill SB 1007 has undergone some significant changes, including the addition of new sections and clarifications regarding various taxes, such as a graduated rate severance tax on coal production and taxes on telecommunications and digital products. It also includes a phase-out plan for personal income tax and exempts military retirement income. These changes are crucial as they aim to reshape the state's tax structure, potentially impacting revenue generation and providing specific exemptions, which could affect both citizens and businesses in West Virginia.

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NEWS RELEASES HELPFUL LINKS Introduced Version « Senate Bill 1007 History OTHER VERSIONS  —  Engrossed Version  |   |  Email Key:
NEWS RELEASES HELPFUL LINKS Engrossed Version « Senate Bill 1007 History OTHER VERSIONS  —  Introduced Version  |   |  Email Key:
Red = new code to be enacted WEST virginia legislature FIRST EXTRAORDINARY session Introduced Senate Bill 1007 By Senators Carmichael (Mr.
Red = new code to be enacted WEST virginia legislature FIRST EXTRAORDINARY session Engrossed Senate Bill 1007 By Senators Carmichael (Mr.
to amend and reenact §11-15-2, §11-15-3, §11-15-9, §11-15-9b and §11-15-9h of said code;
to amend and reenact §11,15-2, §11-15-3, §11-15-9, §11-15-9b and §11-15-9h of said code;
and to amend and reenact §11-24-23a of said code, all relating generally to the Tax Reform Act of 2017;
to amend and reenact §11-24-23a of said code, to amend said code by adding thereto a new section, designated §11-24-4c, all relating generally to the Tax Reform Act of 2017;
increasing rate of corporation net income tax as of specified date;
and that §11-24-23a of said code be amended and reenacted, all to read as follows:
that §11-24-23a of said code be amended and reenacted;
and that said code be amended by adding thereto a new section, designated §11-24-4c, all to read as follows:
(a) Notwithstanding the provisions of section three of this article, the rate of tax on the privilege of engaging or continuing within this state in the business of severing, extracting, reducing to possession, and producing coal for sale, profit or commercial use shall, for all tons of coal produced after June 30, 2017, is as follows:
(a) Notwithstanding the provisions of section three of this article, the rate of tax on the privilege of engaging or continuing within this state in the business of severing, extracting, reducing to possession, and producing coal for sale, profit or commercial use shall, for all tons of coal produced after June 30, 2017, is as follows.
the basis of the tax is per ton revenue based on FOB mine realizations:
The basis of the tax is per ton revenue based on FOB mine realizations:
If gross income from sale of coal during the reporting period is:...........................................
If gross income from sale of coal during the reporting period is:                              The rate of tax is:
The rate of tax is:
Less than $42 per ton ................................................2.5% $42 or more per ton but less than $49 per ton ...........3.25% $49 or more per ton but less than $56 per ton ...........4.0% $56 per ton but less than $61 per ton ........................5.0% $61 per ton but less than $70 per ton ........................5.5% $70 per ton but less than $74 per ton ........................6.5% $74 or more per ton …………………………………….8.0% These rates include the thirty-five one hundredths of one percent additional severance tax imposed by the state for the benefit of counties and municipalities as provided in section six of this article.
Less than $42 per ton ..........................................................................
The rate of tax for each reporting period shall be determined by dividing the gross income of the taxpayer from sales of all steam grade coal during the reporting period, exclusive of sales of thin seam coal, by the tons of all tons of all steam grade coal sold by the taxpayer during the reporting period but not including tons of thin seam coal.
2.5% $42 or more per ton but less than $49 per ton ..................................
3.25% $49 or more per ton but less than $56 per ton ....................................
4.0% $56 per ton but less than $61 per ton ..................................................
5.0% $61 per ton but less than $70 per ton ..................................................
5.5% $70 per ton but less than $74 per ton..................................................
6.5% $74 or more per ton ..............................................................................
8.0% These rates include the thirty-five one hundredths of one percent additional severance tax imposed by the state for the benefit of counties and municipalities as provided in section six of this article.
The rate of tax for each reporting period shall be determined by dividing the gross income of the taxpayer from sales of all steam grade coal during the reporting period, exclusive of sales of thin seam coal, by tons of all steam grade coal sold by the taxpayer during the reporting period but not including tons of thin seam coal.
Not more than $75 per ton....................................................................
Not more than $75 per ton ...................................................................
0.5% $75.01 to $150 per ton..........................................................................
0.5% $75.01 to $150 per ton .........................................................................
1.0% More than $150 per ton ..............................................................
1.0% More than $150 per ton .......................................................................
Not more than $75 per ton ...................................................................
Not more than $75 per ton....................................................................
1.5% $75.01 to $150 per ton.........................................................................
1.5% $75.01 to $150 per ton .........................................................................
2.0% More than $150 per ton .............................................................
2.0% More than $150 per ton .......................................................................
(a) General.  When used in this article and article fifteen-a of this chapter, words defined in subsection (b) of this section have the meanings ascribed to them in this section, except in those instances where a different meaning is provided in this article or the context in which the word is used clearly indicates that a different meaning is intended by the Legislature.
            (a) General.  When used in this article and article fifteen-a of this chapter, words defined in subsection (b) of this section have the meanings ascribed to them in this section, except in those instances where a different meaning is provided in this article or the context in which the word is used clearly indicates that a different meaning is intended by the Legislature.
(1) "Business" includes all activities engaged in or caused to be engaged in with the object of gain or economic benefit, direct or indirect, and all activities of the state and its political subdivisions which involve sales of tangible personal property or the rendering of services when those service activities compete with or may compete with the activities of other persons.
            (1) "Business" includes all activities engaged in or caused to be engaged in with the object of gain or economic benefit, direct or indirect, and all activities of the state and its political subdivisions which involve sales of tangible personal property or the rendering of services when those service activities compete with or may compete with the activities of other persons.
(2) "Communication" means all telephone, radio, light, light wave, radio telephone, telegraph and other communication or means of communication, whether used for voice communication, computer data transmission or other encoded symbolic information transfers and includes commercial broadcast radio, commercial broadcast television and cable television.
            (2) "Communication" means all telephone, radio, light, light wave, radio telephone, telegraph and other communication or means of communication, whether used for voice communication, computer data transmission or other encoded symbolic information transfers and includes commercial broadcast radio, commercial broadcast television and cable television.
(3) "Contracting":
            (3) "Contracting":
(A) In general.  "Contracting" means and includes the furnishing of work, or both materials and work, for another (by a sole contractor, general contractor, prime contractor, subcontractor or construction manager) in fulfillment of a contract for the construction, alteration, repair, decoration or improvement of a new or existing building or structure, or any part thereof, or for removal or demolition of a building or structure, or any part thereof, or for the alteration, improvement or development of real property.
            (A) In general.  "Contracting" means and includes the furnishing of work, or both materials and work, for another (by a sole contractor, general contractor, prime contractor, subcontractor or construction manager) in fulfillment of a contract for the construction, alteration, repair, decoration or improvement of a new or existing building or structure, or any part thereof, or for removal or demolition of a building or structure, or any part thereof, or for the alteration, improvement or development of real property.
(B) Form of contract not controlling.  An activity that falls within the scope of the definition of contracting constitutes contracting regardless of whether the contract governing the activity is written or verbal and regardless of whether it is in substance or form a lump sum contract, a cost-plus contract, a time and materials contract, whether or not open-ended, or any other kind of construction contract.
            (B) Form of contract not controlling.  An activity that falls within the scope of the definition of contracting constitutes contracting regardless of whether the contract governing the activity is written or verbal and regardless of whether it is in substance or form a lump sum contract, a cost-plus contract, a time and materials contract, whether or not open-ended, or any other kind of construction contract.
(C) Special rules.  For purposes of this definition:
            (C) Special rules.  For purposes of this definition:
(i) The term "structure" includes, but is not limited to, everything built up or composed of parts joined together in some definite manner and attached or affixed to real property or which adds utility to real property or any part thereof or which adds utility to a particular parcel of property and is intended to remain there for an indefinite period of time;
            (i) The term "structure" includes, but is not limited to, everything built up or composed of parts joined together in some definite manner and attached or affixed to real property or which adds utility to real property or any part thereof or which adds utility to a particular parcel of property and is intended to remain there for an indefinite period of time;
(ii) The term "alteration" means, and is limited to, alterations which are capital improvements to a building or structure or to real property;
            (ii) The term "alteration" means, and is limited to, alterations which are capital improvements to a building or structure or to real property;
(iii) The term "repair" means, and is limited to, repairs which are capital improvements to a building or structure or to real property;
            (iii) The term "repair" means, and is limited to, repairs which are capital improvements to a building or structure or to real property;
(iv) The term "decoration" means, and is limited to, decorations which are capital improvements to a building or structure or to real property;
            (iv) The term "decoration" means, and is limited to, decorations which are capital improvements to a building or structure or to real property;
(v) The term "improvement" means, and is limited to, improvements which are capital improvements to a building or structure or to real property;
            (v) The term "improvement" means, and is limited to, improvements which are capital improvements to a building or structure or to real property;
(vi) The term "capital improvement" means improvements that are affixed to or attached to and become a part of a building or structure or the real property or which add utility to real property, or any part thereof, and that last or are intended to be relatively permanent.
            (vi) The term "capital improvement" means improvements that are affixed to or attached to and become a part of a building or structure or the real property or which add utility to real property, or any part thereof, and that last or are intended to be relatively permanent.
(vii) Contracting does not include the furnishing of work, or both materials and work, in the nature of hookup, connection, installation or other services if the service is incidental to the retail sale of tangible personal property from the service provider's inventory:
            (vii) Contracting does not include the furnishing of work, or both materials and work, in the nature of hookup, connection, installation or other services if the service is incidental to the retail sale of tangible personal property from the service provider's inventory:
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and (viii) The term "construction manager" means a person who enters into an agreement to employ, direct, coordinate or manage design professionals and contractors who are hired and paid directly by the owner or the construction manager.
and             (viii) The term "construction manager" means a person who enters into an agreement to employ, direct, coordinate or manage design professionals and contractors who are hired and paid directly by the owner or the construction manager.
(4) “Digital code” is defined in section three-e of this article;
            (4) Digital code” is defined in section three-e of this article;
(5) “Digital products” is defined in section three-e of this article;
            (5) “Digital products” is defined in section three-e of this article;
(4) (6) "Directly used or consumed" in the activities of manufacturing, transportation, transmission, communication or the production of natural resources means used or consumed in those activities or operations which constitute an integral and essential part of the activities, as contrasted with and distinguished from those activities or operations which are simply incidental, convenient or remote to the activities.
            (4) (6) "Directly used or consumed" in the activities of manufacturing, transportation, transmission, communication or the production of natural resources means used or consumed in those activities or operations which constitute an integral and essential part of the activities, as contrasted with and distinguished from those activities or operations which are simply incidental, convenient or remote to the activities.
(A) Uses of property or consumption of services which constitute direct use or consumption in the activities of manufacturing, transportation, transmission, communication or the production of natural resources include only:
            (A) Uses of property or consumption of services which constitute direct use or consumption in the activities of manufacturing, transportation, transmission, communication or the production of natural resources include only:
(i) In the case of tangible personal property, physical incorporation of property into a finished product resulting from manufacturing production or the production of natural resources;
            (i) In the case of tangible personal property, physical incorporation of property into a finished product resulting from manufacturing production or the production of natural resources;
(ii) Causing a direct physical, chemical or other change upon property undergoing manufacturing production or production of natural resources;
            (ii) Causing a direct physical, chemical or other change upon property undergoing manufacturing production or production of natural resources;
(iii) Transporting or storing property undergoing transportation, communication, transmission, manufacturing production or production of natural resources;
            (iii) Transporting or storing property undergoing transportation, communication, transmission, manufacturing production or production of natural resources;
(iv) Measuring or verifying a change in property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (iv) Measuring or verifying a change in property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(v) Physically controlling or directing the physical movement or operation of property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (v) Physically controlling or directing the physical movement or operation of property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(vi) Directly and physically recording the flow of property undergoing transportation, communication, transmission, manufacturing production or production of natural resources;
            (vi) Directly and physically recording the flow of property undergoing transportation, communication, transmission, manufacturing production or production of natural resources;
(vii) Producing energy for property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (vii) Producing energy for property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(viii) Facilitating the transmission of gas, water, steam or electricity from the point of their diversion to property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (viii) Facilitating the transmission of gas, water, steam or electricity from the point of their diversion to property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(ix) Controlling or otherwise regulating atmospheric conditions required for transportation, communication, transmission, manufacturing production or production of natural resources;
            (ix) Controlling or otherwise regulating atmospheric conditions required for transportation, communication, transmission, manufacturing production or production of natural resources;
(x) Serving as an operating supply for property undergoing transmission, manufacturing production or production of natural resources, or for property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (x) Serving as an operating supply for property undergoing transmission, manufacturing production or production of natural resources, or for property directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(xi) Maintaining or repairing of property, including maintenance equipment, directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
            (xi) Maintaining or repairing of property, including maintenance equipment, directly used in transportation, communication, transmission, manufacturing production or production of natural resources;
(xii) Storing, removal or transportation of economic waste resulting from the activities of manufacturing, transportation, communication, transmission or the production of natural resources;
            (xii) Storing, removal or transportation of economic waste resulting from the activities of manufacturing, transportation, communication, transmission or the production of natural resources;
(xiii) Engaging in pollution control or environmental quality or protection activity directly relating to the activities of manufacturing, transportation, communication, transmission or the production of natural resources and personnel, plant, product or community safety or security activity directly relating to the activities of manufacturing, transportation, communication, transmission or the production of natural resources;
            (xiii) Engaging in pollution control or environmental quality or protection activity directly relating to the activities of manufacturing, transportation, communication, transmission or the production of natural resources and personnel, plant, product or community safety or security activity directly relating to the activities of manufacturing, transportation, communication, transmission or the production of natural resources;
or (xiv) Otherwise using as an integral and essential part of transportation, communication, transmission, manufacturing production or production of natural resources.
or             (xiv) Otherwise using as an integral and essential part of transportation, communication, transmission, manufacturing production or production of natural resources.
(B) Uses of property or services which do not constitute direct use or consumption in the activities of manufacturing, transportation, transmission, communication or the production of natural resources include, but are not limited to:
            (B) Uses of property or services which do not constitute direct use or consumption in the activities of manufacturing, transportation, transmission, communication or the production of natural resources include, but are not limited to:
(i) Heating and illumination of office buildings;
            (i) Heating and illumination of office buildings;
(ii) Janitorial or general cleaning activities;
            (ii) Janitorial or general cleaning activities;
(iii) Personal comfort of personnel;
            (iii) Personal comfort of personnel;
(iv) Production planning, scheduling of work or inventory control;
            (iv) Production planning, scheduling of work or inventory control;
(v) Marketing, general management, supervision, finance, training, accounting and administration;
            (v) Marketing, general management, supervision, finance, training, accounting and administration;
or (vi) An activity or function incidental or convenient to transportation, communication, transmission, manufacturing production or production of natural resources, rather than an integral and essential part of these activities.
or             (vi) An activity or function incidental or convenient to transportation, communication, transmission, manufacturing production or production of natural resources, rather than an integral and essential part of these activities.
(5) (7) "Directly used or consumed" in the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business means used or consumed in those activities or operations which constitute an integral and essential part of those activities or operation, as contrasted with and distinguished from activities or operations which are simply incidental, convenient or remote to those activities.
            (5) (7) "Directly used or consumed" in the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business means used or consumed in those activities or operations which constitute an integral and essential part of those activities or operation, as contrasted with and distinguished from activities or operations which are simply incidental, convenient or remote to those activities.
(A) Uses of property or consumption of services which constitute direct use or consumption in the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business include only:
            (A) Uses of property or consumption of services which constitute direct use or consumption in the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business include only:
(i) Tangible personal property, custom software, digital code, digital products or services, including equipment, machinery, apparatus, supplies, fuel and power and appliances, which are used immediately in production or generation activities and equipment, machinery, supplies, tools and repair parts used to keep in operation exempt production or generation devices.
            (i) Tangible personal property, custom software, digital code, digital products or services, including equipment, machinery, apparatus, supplies, fuel and power and appliances, which are used immediately in production or generation activities and equipment, machinery, supplies, tools and repair parts used to keep in operation exempt production or generation devices.
(ii) Tangible personal property, custom software, digital code, digital products or services, including equipment, machinery, apparatus, supplies, fuel and power, appliances, pipes, wires and mains, which are used immediately in the transmission or distribution of gas, water and electricity to the public, and equipment, machinery, tools, repair parts and supplies used to keep in operation exempt transmission or distribution devices, and these vehicles and their equipment as are specifically designed and equipped for those purposes are exempt from the tax when used to keep a transmission or distribution system in operation or repair.
            (ii) Tangible personal property, custom software, digital code, digital products or services, including equipment, machinery, apparatus, supplies, fuel and power, appliances, pipes, wires and mains, which are used immediately in the transmission or distribution of gas, water and electricity to the public, and equipment, machinery, tools, repair parts and supplies used to keep in operation exempt transmission or distribution devices, and these vehicles and their equipment as are specifically designed and equipped for those purposes are exempt from the tax when used to keep a transmission or distribution system in operation or repair.
(iii) Tangible personal property, custom software, digital code, digital products, or services, including equipment, machinery, apparatus, supplies, fuel and power, appliances, pipes, wires and mains, which are used immediately in the storage of gas or water, and equipment, machinery, tools, supplies and repair parts used to keep in operation exempt storage devices;
            (iii) Tangible personal property, custom software, digital code, digital products, or services, including equipment, machinery, apparatus, supplies, fuel and power, appliances, pipes, wires and mains, which are used immediately in the storage of gas or water, and equipment, machinery, tools, supplies and repair parts used to keep in operation exempt storage devices;
(iv) Tangible personal property, custom software, digital code, digital products, or services used immediately in the storage, removal or transportation of economic waste resulting from the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business;
            (iv) Tangible personal property, custom software, digital code, digital products, or services used immediately in the storage, removal or transportation of economic waste resulting from the activities of gas storage, the generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business;
(v) Tangible personal property, custom software, digital code, digital products, or services used immediately in pollution control or environmental quality or protection activity or community safety or security directly relating to the activities of gas storage, generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business.
            (v) Tangible personal property, custom software, digital code, digital products, or services used immediately in pollution control or environmental quality or protection activity or community safety or security directly relating to the activities of gas storage, generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business.
(B) Uses of property, digital code, digital products, or services which would not constitute direct use or consumption in the activities of gas storage, generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business include, but are not limited to:
            (B) Uses of property, digital code, digital products, or services which would not constitute direct use or consumption in the activities of gas storage, generation or production or sale of electric power, the provision of a public utility service or the operation of a utility business include, but are not limited to:
(i) Heating and illumination of office buildings;
            (i) Heating and illumination of office buildings;
(ii) Janitorial or general cleaning activities;
            (ii) Janitorial or general cleaning activities;
(iii) Personal comfort of personnel;
            (iii) Personal comfort of personnel;
(iv) Production planning, scheduling of work or inventory control;
            (iv) Production planning, scheduling of work or inventory control;
(v) Marketing, general management, supervision, finance, training, accounting and administration;
            (v) Marketing, general management, supervision, finance, training, accounting and administration;
or (vi) An activity or function incidental or convenient to the activities of gas storage, generation or production or sale of electric power, the provision of public utility service or the operation of a utility business.
or             (vi) An activity or function incidental or convenient to the activities of gas storage, generation or production or sale of electric power, the provision of public utility service or the operation of a utility business.
(6) (8) "Gas storage" means the injection of gas into a storage reservoir or the storage of gas for any period of time in a storage reservoir or the withdrawal of gas from a storage reservoir engaged in by businesses subject to the business and occupation tax imposed by sections two and two-e, article thirteen of this chapter.
            (6) (8) "Gas storage" means the injection of gas into a storage reservoir or the storage of gas for any period of time in a storage reservoir or the withdrawal of gas from a storage reservoir engaged in by businesses subject to the business and occupation tax imposed by sections two and two-e, article thirteen of this chapter.
(7) (9) "Generating or producing or selling of electric power" means the generation, production or sale of electric power engaged in by businesses subject to the business and occupation tax imposed by section two, two-d, two-m or two-n, article thirteen of this chapter.
            (7) (9) "Generating or producing or selling of electric power" means the generation, production or sale of electric power engaged in by businesses subject to the business and occupation tax imposed by section two, two-d, two-m or two-n, article thirteen of this chapter.
(8) (10) "Gross proceeds" means the amount received in money, credits, property or other consideration from sales and services within this state, without deduction on account of the cost of property sold, amounts paid for interest or discounts or other expenses whatsoever.
            (8) (10) "Gross proceeds" means the amount received in money, credits, property or other consideration from sales and services within this state, without deduction on account of the cost of property sold, amounts paid for interest or discounts or other expenses whatsoever.
(9) (11) "Includes" and "including", when used in a definition contained in this article, does not exclude other things otherwise within the meaning of the term being defined.
            (9) (11) "Includes" and "including", when used in a definition contained in this article, does not exclude other things otherwise within the meaning of the term being defined.
(10) (12) "Manufacturing" means a systematic operation or integrated series of systematic operations engaged in as a business or segment of a business which transforms or converts tangible personal property by physical, chemical or other means into a different form, composition or character from that in which it originally existed.
            (10) (12) "Manufacturing" means a systematic operation or integrated series of systematic operations engaged in as a business or segment of a business which transforms or converts tangible personal property by physical, chemical or other means into a different form, composition or character from that in which it originally existed.
(11) (13) "Person" means any individual, partnership, association, corporation, limited liability company, limited liability partnership or any other legal entity, including this state or its political subdivisions or an agency of either, or the guardian, trustee, committee, executor or administrator of any person.
            (11) (13) "Person" means any individual, partnership, association, corporation, limited liability company, limited liability partnership or any other legal entity, including this state or its political subdivisions or an agency of either, or the guardian, trustee, committee, executor or administrator of any person.
(12) (14) "Personal service" includes those:
            (12) (14) "Personal service" includes those:
(13) (15) "Prepaid wireless calling service" means a telecommunications service that provides the right to utilize mobile wireless service as well as other nontelecommunications services, including the download of digital products delivered electronically, content and ancillary services, which must be paid for in advance that is sold in predetermined units or dollars of which the number decline with use in a known amount.
            (13) (15) "Prepaid wireless calling service" means a telecommunications service that provides the right to utilize mobile wireless service as well as other nontelecommunications services, including the download of digital products delivered electronically, content and ancillary services, which must be paid for in advance that is sold in predetermined units or dollars of which the number decline with use in a known amount.
(14) (16) Production of natural resources.
            (14) (16) Production of natural resources.
(A) "Production of natural resources" means, except for oil and gas, the performance, by either the owner of the natural resources or another, of the act or process of exploring, developing, severing, extracting, reducing to possession and loading for shipment and shipment for sale, profit or commercial use of any natural resource products and any reclamation, waste disposal or environmental activities associated therewith and the construction, installation or fabrication of ventilation structures, mine shafts, slopes, boreholes, dewatering structures, including associated facilities and apparatus, by the producer or others, including contractors and subcontractors, at a coal mine or coal production facility.
            (A) "Production of natural resources" means, except for oil and gas, the performance, by either the owner of the natural resources or another, of the act or process of exploring, developing, severing, extracting, reducing to possession and loading for shipment and shipment for sale, profit or commercial use of any natural resource products and any reclamation, waste disposal or environmental activities associated therewith and the construction, installation or fabrication of ventilation structures, mine shafts, slopes, boreholes, dewatering structures, including associated facilities and apparatus, by the producer or others, including contractors and subcontractors, at a coal mine or coal production facility.
(B) For the natural resources oil and gas, "production of natural resources" means the performance, by either the owner of the natural resources, a contractor or a subcontractor, of the act or process of exploring, developing, drilling, well-stimulation activities such as logging, perforating or fracturing, well-completion activities such as the installation of the casing, tubing and other machinery and equipment and any reclamation, waste disposal or environmental activities associated therewith, including the installation of the gathering system or other pipeline to transport the oil and gas produced or environmental activities associated therewith and any service work performed on the well or well site after production of the well has initially commenced.
            (B) For the natural resources oil and gas, "production of natural resources" means the performance, by either the owner of the natural resources, a contractor or a subcontractor, of the act or process of exploring, developing, drilling, well-stimulation activities such as logging, perforating or fracturing, well-completion activities such as the installation of the casing, tubing and other machinery and equipment and any reclamation, waste disposal or environmental activities associated therewith, including the installation of the gathering system or other pipeline to transport the oil and gas produced or environmental activities associated therewith and any service work performed on the well or well site after production of the well has initially commenced.
(C) All work performed to install or maintain facilities up to the point of sale for severance tax purposes is included in the "production of natural resources" and subject to the direct use concept.
            (C) All work performed to install or maintain facilities up to the point of sale for severance tax purposes is included in the "production of natural resources" and subject to the direct use concept.
(D) "Production of natural resources" does not include the performance or furnishing of work, or materials or work, in fulfillment of a contract for the construction, alteration, repair, decoration or improvement of a new or existing building or structure, or any part thereof, or for the alteration, improvement or development of real property, by persons other than those otherwise directly engaged in the activities specifically set forth in this subdivision as "production of natural resources".
            (D) "Production of natural resources" does not include the performance or furnishing of work, or materials or work, in fulfillment of a contract for the construction, alteration, repair, decoration or improvement of a new or existing building or structure, or any part thereof, or for the alteration, improvement or development of real property, by persons other than those otherwise directly engaged in the activities specifically set forth in this subdivision as "production of natural resources".
(15) (17) "Providing a public service or the operating of a utility business" means the providing of a public service or the operating of a utility by businesses subject to the business and occupation tax imposed by sections two and two-d, article thirteen of this chapter.
            (15) (17) "Providing a public service or the operating of a utility business" means the providing of a public service or the operating of a utility by businesses subject to the business and occupation tax imposed by sections two and two-d, article thirteen of this chapter.
(16) (18) "Purchaser" means a person who purchases tangible personal property, custom software or a service taxed by this article.
            (16) (18) "Purchaser" means a person who purchases tangible personal property, custom software or a service taxed by this article.
(17) (19) "Sale", "sales" or "selling" includes any transfer of the possession or ownership of tangible personal property, digital code, digital products, or custom software for a consideration, including a lease or rental, when the transfer or delivery is made in the ordinary course of the transferor's business and is made to the transferee or his or her agent for consumption or use or any other purpose.
            (17) (19) "Sale", "sales" or "selling" includes any transfer of the possession or ownership of tangible personal property, digital code, digital products, or custom software for a consideration, including a lease or rental, when the transfer or delivery is made in the ordinary course of the transferor's business and is made to the transferee or his or her agent for consumption or use or any other purpose.
(18) (20) "Service" or "selected service" includes all nonprofessional activities engaged in for other persons for a consideration, which involve the rendering of a service as distinguished from the sale of tangible personal property, digital code, digital products, or custom software, but does not include contracting, personal services or the services rendered by an employee to his or her employer or any service rendered for resale:
            (18) (20) "Service" or "selected service" includes all nonprofessional activities engaged in for other persons for a consideration, which involve the rendering of a service as distinguished from the sale of tangible personal property, digital code, digital products, or custom software, but does not include contracting, personal services or the services rendered by an employee to his or her employer or any service rendered for resale:
Provided, That the term "service" or "selected service" does not include payments received by a vendor of tangible personal property as an incentive to sell a greater volume of such tangible personal property under a manufacturer's, distributor's or other third party's marketing support program, sales incentive program, cooperative advertising agreement or similar type of program or agreement, and these payments are not considered to be payments for a "service" or "selected service" rendered, even though the vendor may engage in attendant or ancillary activities associated with the sales of tangible personal property as required under the programs or agreements (19) (21) "Streamlined Sales and Use Tax Agreement" or "agreement", when used in this article, has the same meaning as when used in article fifteen-b of this chapter, except when the context in which the word "agreement" is used clearly indicates that a different meaning is intended by the Legislature.
Provided, That the term "service" or "selected service" does not include payments received by a vendor of tangible personal property as an incentive to sell a greater volume of such tangible personal property under a manufacturer's, distributor's or other third party's marketing support program, sales incentive program, cooperative advertising agreement or similar type of program or agreement, and these payments are not considered to be payments for a "service" or "selected service" rendered, even though the vendor may engage in attendant or ancillary activities associated with the sales of tangible personal property as required under the programs or agreements             (19) (21) "Streamlined Sales and Use Tax Agreement" or "agreement", when used in this article, has the same meaning as when used in article fifteen-b of this chapter, except when the context in which the word "agreement" is used clearly indicates that a different meaning is intended by the Legislature.
(20) (22) "Tax" includes all taxes, additions to tax, interest and penalties levied under this article or article ten of this chapter.
            (20) (22) "Tax" includes all taxes, additions to tax, interest and penalties levied under this article or article ten of this chapter.
(21) (23) "Tax Commissioner" means the State Tax Commissioner or his or her delegate.
            (21) (23) "Tax Commissioner" means the State Tax Commissioner or his or her delegate.
(22) (24) "Taxpayer" means any person liable for the tax imposed by this article or additions to tax, penalties and interest imposed by article ten of this chapter.
            (22) (24) "Taxpayer" means any person liable for the tax imposed by this article or additions to tax, penalties and interest imposed by article ten of this chapter.
(23) (25) "Transmission" means the act or process of causing liquid, natural gas or electricity to pass or be conveyed from one place or geographical location to another place or geographical location through a pipeline or other medium for commercial purposes:
            (23) (25) "Transmission" means the act or process of causing liquid, natural gas or electricity to pass or be conveyed from one place or geographical location to another place or geographical location through a pipeline or other medium for commercial purposes:
(24) (26) "Transportation" means the act or process of conveying, as a commercial enterprise, passengers or goods from one place or geographical location to another place or geographical location.
            (24) (26) "Transportation" means the act or process of conveying, as a commercial enterprise, passengers or goods from one place or geographical location to another place or geographical location.
(25) (27) "Ultimate consumer" or "consumer" means a person who uses or consumes services, digital code, digital products, or personal property.
            (25) (27) "Ultimate consumer" or "consumer" means a person who uses or consumes services, digital code, digital products, or personal property.
(26) (28) "Vendor" means any person engaged in this state in furnishing services taxed by this article or making sales of tangible personal property, digital code, digital products, or custom software.
            (26) (28) "Vendor" means any person engaged in this state in furnishing services taxed by this article or making sales of tangible personal property, digital code, digital products, or custom software.
(c) Additional definitions.  Other terms used in this article are defined in article fifteen-b of this chapter, which definitions are incorporated by reference into article fifteen of this chapter.
            (c) Additional definitions.  Other terms used in this article are defined in article fifteen-b of this chapter, which definitions are incorporated by reference into article fifteen of this chapter.
Provided, That on and after July 1, 2017, the tax imposed by this article shall be six and eighty-five hundredths percent of the purchase price, excluding sales of motor vehicles, which shall remain taxable as provided in section three-c of this article, and sales of motor fuels, which remain taxable at the rate of five percent of the average wholesale selling price of motor fuel.
Provided, That on and after July 1, 2017, the tax imposed by this article shall be six and ninety-five hundredths percent of the purchase price, excluding sales of motor vehicles, which shall remain taxable as provided in section three-c of this article, and sales of motor fuels, which remain taxable at the rate of five percent of the average wholesale selling price of motor fuel.
Provided, That on and after July 1, 2017, notwithstanding any provision of this article to the contrary, the tax levied on sales of mobile homes to be used by the owner thereof as his or her principal year-round residence and dwelling shall be an amount equal to six and eighty-five hundredths percent of fifty percent (50%) of the sales price.
Provided, That on and after July 1, 2017, notwithstanding any provision of this article to the contrary, the tax levied on sales of mobile homes to be used by the owner thereof as his or her principal year-round residence and dwelling shall be an amount equal to six and ninety-five hundredths percent of fifty percent (50%) of the sales price.
(2) “Digital audio-visual works” means a series of related images which, when shown in succession, impart an impression of motion, together with accompanying sound, if any.
            (2) “Digital audio-visual works” means a series of related images which, when shown in succession, impart an impression of motion, together with accompanying sound, if any.
(3) “Digital audio works” means works that result from the fixation of a series of musical, spoken, or other sounds including ringtones.
            (3) “Digital audio works” means works that result from the fixation of a series of musical, spoken, or other sounds including ringtones.
(4) “Digital automated services” defined.
            (4) “Digital automated services” defined.
(B) "Digital automated service" does not include:
(B) " Digital automated service " does not include:
(vi) Telecommunications services and ancillary services as those terms are defined in article fifteen-b of this chapter;
(vi) Telecommunications services and ancillary services as those terms are defined article fifteen-b of this chapter;
(5) “Digital books” means works that are generally recognized in the ordinary and usual sense as “books.” It includes works of fiction and nonfiction and short stories.
            (5) “Digital books” means works that are generally recognized in the ordinary and usual sense as “books.” It includes works of fiction and nonfiction and short stories.
(6) “Digital code” means a code which provides a purchaser with a right to obtain one or more digital products.
            (6) “Digital code” means a code which provides a purchaser with a right to obtain one or more digital products.
(B) The term "digital goods" does not include:
(B) The term " digital goods " does not include:
(iii) The internet and internet access service as those terms are defined in the Internet Tax Freedom Act, Title 47, U.S.C.
(iii) The internet and internet access service as those terms are defined the Internet Tax Freedom Act, Title 47, U.S.C.
(A) Greeting cards.
            (A) Greeting cards.
(B) Periodicals.
            (B) Periodicals.
(C) Magazines.
            (C) Magazines.
(C) Video or electronic games.
            (C) Video or electronic games.
(D) Newspapers or other news or information products.
            (D) Newspapers or other news or information products.
(12) “Ringtone” means digitized sound files that are downloaded onto a device and that may be used to alert the customer with respect to a communication.
(12) “Ringtone” means digitized sound files that are downloaded onto a device and that may be used to alert the customer with respect to a communication (c) The sales digital code and digital products on which tax is imposed by this section shall be subject to the transaction sourcing rules in article fifteen-b of this chapter.
(c) The sales digital code and digital products on which tax is imposed by this section shall be subject to the transaction sourcing rules in article fifteen-b of this chapter.
            (d) For purposes of this section, the sale, license, lease, or rental of or the storage, use, or other consumption of a digital code is treated the same as the sale, license, lease, or rental of or the storage, use, or other consumption of any digital product to which the digital code relates.
(d) For purposes of this section, the sale, license, lease, or rental of or the storage, use, or other consumption of a digital code is treated the same as the sale, license, lease, or rental of or the storage, use, or other consumption of any digital product to which the digital code relates.
(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, generation or production or selling electric power, provision of a public utility service or the operation of a utility service 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.
(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, generation or production or selling electric power, provision of a public utility service or the operation of a utility service 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;
However, on and after July 1, 2017, this exemption shall not be available for purchases made on and after that date of services, machinery, supplies and materials directly used in the activity of communication, or in the activity of transmission of natural gas, natural gas liquids, oil or other mineral;
– The amendments to subsection (a) of this section made during the First Extraordinary Session of the Legislature in 2017 shall take effect beginning July 1, 2017, and apply to sales made on and after that date.
– The amendments to subsection (a) of this section made during the First Extraordinary Session of the Legislature in shall take effect beginning July 1, 2017, and apply to sales made on and after that date.
(c) No provision of this section may be interpreted to alter, abrogate or impede application of the exemption for sales of primary opinion research services set forth in section nine of this article.
(c) No provision of this section may be interpreted to alter, abrogate or impede application of the exemption for sales of primary opinion research services set forth in section nine of this article §11-15-9h.
§11-15-9h.
(c) The amendments to this section made in the first extraordinary session of the Legislature in 2009 shall apply to purchases made on and after July 1, 2009 2017.
(c) The amendments to this section made in the first extraordinary session of the Legislature in 2009 2017 shall apply to purchases made on and after July 1, 2009 2017.
Provided, That on and after July 1, 2017, the tax imposed by this article shall be collected and paid, as provided in this article or article fifteen-b of this chapter, at the rate of six and eighty-five hundredths percent of the purchase price of the tangible personal property, digital code, digital products, custom software or taxable services, except as otherwise provided in this article.
Provided, That on and after July 1, 2017, the tax imposed by this article shall be collected and paid, as provided in this article or article fifteen-b of this chapter, at the rate of six and ninety-five hundredths percent of the purchase price of the tangible personal property, digital code, digital products, custom software or taxable services, except as otherwise provided in this article.
Provided, That where the tangible personal property or custom software is sold under a conditional sales contract, or under any other form of sale wherein the payment of the principal sum, or a part of the sum is extended over a period longer than sixty days from the date of the sale, the retailer may collect and remit each monthly period that portion of the tax equal to six six and eighty-five hundredths percent of that portion of the purchase price actually received during the monthly period.
Provided, That where the tangible personal property or custom software is sold under a conditional sales contract, or under any other form of sale wherein the payment of the principal sum, or a part of the sum is extended over a period longer than sixty days from the date of the sale, the retailer may collect and remit each monthly period that portion of the tax equal to six six and ninety-five hundredths percent of that portion of the purchase price actually received during the monthly period.
and if that amount exceeds $100,000, the tax attributable to the first fifteen days of June each year shall be remitted on or before June of said month as provided in subdivision (2) of this subsection.
and if that amount exceeds $100,000, the tax attributable to the first fifteen days of June each year shall be remitted on or before June 20 of said month as provided in subdivision (2) of this subsection.
If the West Virginia taxable income is:
If the West Virginia taxable income is:                                                    The tax is:
..............................................................
Less than $20,000                                                      2.25% of taxable income $20,000 or more but less than $35,000                      $450.00 plus 3.95% of taxable Income in excess of $20,000 $35,000 or more but less than $250,000                    $1,042.50 plus 5.65% of taxable                                                                                     income in excess of $35,000 $250,000 or more                                                       $13,190.00 plus 6.0% of taxable                                                                                     income in excess of $250,000 (c) Rate of tax on married individuals filing separate returns.
The tax is:
Less than $20,000 ............................................................
2.25% of taxable income $20,000 or more but less than $35,000...................
$450.00 plus 3.95% of taxable Income in excess of $20,000 $35,000 or more but less than $250,000..............
$1,042.50 plus 5.65% of taxable income in excess of $35,000 $250,000 or more..................................................
$13,190.00 plus 6.0% of taxable income in excess of $250,000 (c) Rate of tax on married individuals filing separate returns.
If the West Virginia taxable income is:.................................................................................
If the West Virginia taxable income is:                                                    The tax is:
The tax is:
Less than $10,000                                                      2.25% of taxable income $10,000 or more but less than $17,500                      $225 plus 3.95% of taxable income in excess of $10,000 $17,500 or more but less than $125,000                    $521.25 plus 5.65% of taxable income in excess of $17,500 $125,000 or more                                                       $6,595.00 plus 6% of taxable income in excess of $125,000 §11-21-4h.
Less than $10,000.............................................................
2.25% of taxable income $10,000 or more but less than $17,500........................
$225 plus 3.95% of taxable income in excess of $10,000 $17,500 or more but less than $125,000.................
$521.25 plus 5.65% of taxable income in excess of $17,500 $125,000 or more.......................................................
$6,595.00 plus 6% of taxable income in excess of $125,000 §11-21-4h.
–  For taxable years beginning on and after January 1, 2019, the tax imposed by section three of this article shall be determined under subsections (b), (c) or (d) of this section, as appropriate.
–  For taxable years beginning on and after January 1, 2019, the tax imposed by section three of this article shall be determined under either subsections (b), (c) or (d) of this section, as appropriate.
If the West Virginia taxable income is:..................................................................................
If the West Virginia taxable income is:                                                    The tax is:
The tax is:
Less than $20,000                                                      1.85% of taxable income $20,000 or more but less than $35,000                      $370.00 plus 3.65% of taxable Income in excess of $20,000 $35,000 or more but less than $250,000                    $917.50 plus 5.45% of taxable income in excess of $35,000 $250,000 or more                                                       $12,635.00 plus 6.0% of taxable                                                                                     income in excess of $250,000 (c) Rate of tax on married individuals filing separate returns.
Less than $20,000.............................................................
1.85% of taxable income $20,000 or more but less than $35,000...................
$370.00 plus 3.65% of taxable Income in excess of $20,000 $35,000 or more but less than $250,000.................
$917.50 plus 5.45% of taxable income in excess of $35,000 $250,000 or more..................................................
$12,635.00 plus 6.0% of taxable income in excess of $250,000 (c) Rate of tax on married individuals filing separate returns.
Less than $10,000.............................................................
Less than $10,000                                                      1.85% of taxable income $10,000 or more but less than $17,500                      $185 plus 3.65% of taxable income in excess of $10,000 $17,500 or more but less than $125,000                    $458.75 plus 5.45% of taxable income in excess of $17,500 Over $125,000                                                            $6,317.50 plus 6% of taxable income in excess of $125,000 (d)  Personal income tax rate reduction in years subsequent to 2019.
1.85% of taxable income $10,000 or more but less than $17,500........................
(1) Beginning in 2018, and each fiscal year thereafter in which the net amount of the increase in the general revenue fund from the previous rate reduction trigger exceeds $110 million, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year, as compared to the consumer price index for the immediately preceding fiscal year, the rates of tax specified in subsections (b) and (c) of this section shall reduce by one-tenth of one percentage point until the rates become zero:
$185 plus 3.65% of taxable income in excess of $10,000 $17,500 or more but less than $125,000.................
Provided, That each rate reduction required by this subdivision shall take effect for the tax year that begins immediately after the current fiscal year ends.
$458.75 plus 5.45% of taxable income in excess of $17,500 Over $125,000 ...........................................................
(2) In any fiscal year when subdivision (1) of this subsection does not apply, but the net amount of increase deposited in the general revenue fund is 65% or more of the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, there shall be no rate reduction for the tax year immediately after the current fiscal year ends.
$6,317.50 plus 6% of taxable income in excess of $125,000 (d)  Personal income tax rate reduction in years subsequent to 2019.
(3) In any fiscal year when subdivisions (1) and (2) of this subsection do not apply, but the net amount of increase deposited in the general revenue fund is less than 65% of the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, there shall be no rate reduction for the tax year immediately after the current fiscal year ends;
(1) Beginning in 2018, and each fiscal year thereafter in which the net amount of the increase in the general revenue fund from the previous fiscal year exceeds $110 million, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year, as compared to the consumer price index for the immediately preceding fiscal year, the rates of tax specified in subsections (b) and (c) of this section shall reduce by one-tenth of one percentage point until the rates become zero:
and the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, shall be increased by 150 percent for the next ensuing fiscal year.                                 , (4) When subdivision (3) of this subsection applies, and in the next ensuing fiscal year the increase in net revenue deposited in the general revenue fund exceeds 150 percent of the annually adjusted $110 million amount specified in subdivision (3), then the reduction of the rates of tax specified in subsection (b) and (c) shall resume for the taxable year that begins immediately after the current fiscal year.
Provided, That each rate reduction required by this subdivision shall take effect for the tax year that begins eighteen months after the current fiscal year ends.
(2) In any fiscal year when subdivision (1) of this subsection does not apply, but the net amount of increase deposited in the general revenue fund is 65% or more of the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, there shall be no rate reduction for the tax year that begins eighteen months after the current fiscal year ends.
(3) In any fiscal year when subdivisions (1) and (2) of this subsection do not apply, but the net amount of increase deposited in the general revenue fund is less than 65% of the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, there shall be no rate reduction for the tax year that begins eighteen months after the current fiscal year ends;
and the annually adjusted $110 million amount, adjusted upward by one-half of the annual growth in the consumer price index for the current fiscal year as compared to the consumer price index for the immediately preceding fiscal year, shall be increased by 150 percent for the next ensuing fiscal year.
(4) When subdivision (3) of this subsection applies, and in the next ensuing fiscal year the increase in net revenue deposited in the general revenue fund exceeds 150 percent of the annually adjusted $110 million amount specified in subdivision (3), then the reduction of the rates of tax specified in subsection (b) and (c) shall resume for the taxable year that begins eighteen months after the current fiscal year.
(1) “Consumer price index” means the most recent consumer price index for all urban consumers published by the United States Department of Labor.
            (1) “Consumer price index” means the most recent consumer price index for all urban consumers published by the United States Department of Labor.
(2) “Consumer price index for any fiscal year” shall for purposes of this section mean the average of the federal consumer price index as of the close of the twelve-month period ending on the thirtieth day of June for the fiscal year.
            (2) “Consumer price index for any fiscal year” shall for purposes of this section mean the average of the federal consumer price index as of the close of the twelve-month period ending on the thirtieth day of June for the fiscal year.
(g) Beginning on October 1, 2018, and on October 1 of each subsequent calendar year, the Tax Commissioner shall publish the following information on the Tax Department’s web site along with other relevant publications and documents:
(A) The personal income tax rates for the current calendar year;
(B) The general revenue collections for the fiscal year ending June 30 of that calendar year;
(C) The difference between general revenue collections for the most recently concluded fiscal year and those for the 2017 fiscal year;
(D) The amount of reduction in the personal income tax rates that will result by application of subdivision (1) of this subsection;
and (E) The personal income tax rates to be imposed for the calendar year beginning January 1 of the next calendar year.
§11-24-4c.
Rate of tax – Taxable years beginning on or after January 1, 2018 but before January 1, 2020.
(a) In lieu of the rate of tax specified in section four of this article, for taxable year beginning on and after January 1, 2018, but before January 1, 2020, the tax imposed by section four of this article shall be levied at the rate of 7.5 percent of West Virginia taxable income.
(b) For taxable years beginning on or after January 1, 2020, the rate of tax shall be that specified in section four of this article.
  NOTE:
The purpose of this bill is to provide increased funding for the General Revenue Fund by imposing severance tax on the privilege of producing coal at graduated rates after specified date;
increasing the rate of the consumers sales and service tax and use tax to 6.85% as of specified date;
imposing sales and use taxes on telecommunication services and ancillary telecommunication services as of specified date, imposing sales and use taxes on sales of digital code and digital products as of specified date;
eliminating exemptions from sales tax as specified date for services provided by health and fitness clubs and providers of primary opinion research, for direct use in communication activity;
narrowing exemption for direct use in transmission activity, and making technical corrections;
clarifying that services of professional employer organizations are exempt from tax;
exempting military retirement from personal income tax after specified date;
decreasing rates of personal income tax for taxable years beginning after specified date;
and providing for phase-out of personal income tax over period of years when certain conditions exist;
increasing the credits against personal and corporation net income taxes for qualified rehabilitation expenditures made after specified date;
and providing rules for claiming credit and for disallowance of credit.
Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.
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Action History

  1. To House Finance

  2. To Finance

  3. Introduced in House

  4. Ordered to House

  5. Effective July 1, 2017 (Roll No. 10)

  6. Passed Senate with amended title (Roll No. 9)

  7. Read 3rd time

  8. Karnes Floor amendment adopted (Voice vote)

  9. Prezioso Amendments to amendment rejected (Roll No. 8)

  10. Karnes Floor amendment reported

  11. Read 2nd time

  12. Constitutional Rule Suspended (Roll No. 7)

  13. Read 1st time

  14. Committee reference dispensed

  15. Immediate consideration

  16. Introduced in Senate

  17. Filed for introduction

Sponsors

  • Prezioso · Cosponsor
  • Carmichael · Primary

Sponsorship breakdown

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1 sponsors · 1 co-sponsors · 150 not signed on

Sponsors (1)

  • Carmichael

Co-sponsors (1)

  • Prezioso

Not signed on (150)

150 members have not signed on to this bill.

Show all 150 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Passage

Passed 19 Yea · 11 Nay · 4 Other
Party YeaNayPresentNot Voting
Republican 3001
Unaffiliated 161103
Total 191104
% of votes cast 56%32%0%12%
How each member voted (34)
Member Party Vote
KARNES — Yea
RUCKER — Not Voting
BEACH — Nay
MANN — Yea
SMITH — Yea
BLAIR — Yea
MARONEY — Not Voting
STOLLINGS — Nay
BOLEY — Yea
MAYNARD — Yea
SWOPE — Yea
BOSO — Yea
SYPOLT — Yea
MULLINS — Yea
TAKUBO — Not Voting
CLINE — Yea
OJEDA — Nay
TRUMP — Yea
FACEMIRE — Nay
PALUMBO — Nay
UNGER — Nay
FERNS — Yea
PLYMALE — Nay
WELD — Yea
GAUNCH — Yea
PREZIOSO — Nay
WOELFEL — Nay
ROMANO — Nay
MR PRESIDENT — Yea
JEFFRIES — Nay
Charles H. Clements Republican Yea
George Miller Republican Not Voting
Mike Azinger Republican Yea
Walter Hall Republican Yea

Official roll call →

Subjects

taxation
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Frequently asked questions

Who sponsors SB 1007?
SB 1007 is sponsored by Prezioso and Carmichael.
What is the current status of SB 1007?
This bill died with 2017 First Special Session. It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
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