H0608aaS............................................by REVENUE AND TAXATION INCOME TAX CREDIT - Adds to existing law to provide special credits to the income tax to employers of new employees in an enterprise that produces, assembles, fabricates or processes natural resource products. 02/18 House intro - 1st rdg - to printing 02/21 Rpt prt - to Rev/Tax 02/29 Rpt out - rec d/p - to 2nd rdg 03/01 2nd rdg - to 3rd rdg 03/06 3rd rdg - PASSED - 43-22-5 AYES -- Alltus, Barraclough, Barrett, Black, Bruneel, Campbell, Chase, Clark, Crow, Cuddy, Ellsworth, Field(13), Field(20), Gagner, Gould, Hansen(29), Henbest, Hornbeck, Jaquet, Jones, Judd, Kellogg, Kempton, Linford, Loertscher, Mader, McKague, Meyer, Moss, Pischner, Pomeroy, Reynolds, Ridinger, Ringo, Robison, Sali, Sellman, Shepherd, Stoicheff, Taylor, Tilman, Trail, Zimmermann NAYS -- Bell, Bieter, Callister, Cheirrett, Deal, Denney, Geddes, Hammond, Hansen(23), Kendell, Lake, Montgomery, Mortensen, Moyle, Pearce, Schaefer(Tiegs), Smith, Smylie, Stevenson, Stone, Wood, Mr Speaker Absent and excused -- Boe, Hadley, Kunz, Marley, Wheeler Floor Sponsor - Cuddy Title apvd - to Senate 03/07 Senate intro - 1st rdg - to Loc Gov 03/16 Rpt out - to 14th Ord 03/21 Rpt out amen - to 1st rdg as amen 03/23 2nd rdg - to 3rd rdg as amen 03/27 3rd rdg as amen - PASSED - 30-0-5 AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron, Darrington, Davis, Deide, Dunklin, Frasure, Geddes, Hawkins, Ipsen, Keough, King-Barrutia, Lee, McLaughlin, Noh, Richardson, Riggs, Risch, Sandy, Schroeder, Sorensen, Stegner, Stennett, Thorne, Whitworth, Williams NAYS--None Absent and excused--Crow, Danielson, Ingram, Parry, Wheeler Floor Sponsor - McLaughlin Title apvd - to House 03/28 House concurred in Senate amens - to engros 03/29 Rpt engros - 1st rdg - to 2nd rdg as amen 2nd rdg - to 3rd rdg as amen Rules susp - PASSED - 38-30-2 AYES -- Alltus, Barrett, Black, Boe, Bruneel, Callister, Campbell, Chase, Crow, Cuddy, Deal, Field(13), Field(20), Gould, Hadley, Hammond, Hansen(29), Henbest, Hornbeck, Jaquet, Jones, Judd, Kellogg, Mader, Marley, McKague, Meyer, Pischner, Ridinger, Ringo, Sali, Schaefer, Shepherd, Stoicheff, Stone, Trail, Wood, Zimmermann NAYS -- Barraclough, Bell, Bieter, Cheirrett, Clark, Denney, Ellsworth, Gagner, Geddes, Hansen(23), Kempton, Kendell, Lake, Linford, Loertscher, Montgomery, Mortensen, Moss, Moyle, Pearce, Pomeroy, Reynolds, Robison, Sellman, Smith, Smylie, Stevenson, Taylor, Wheeler, Mr Speaker Absent and excused -- Kunz, Tilman Floor Sponsor - Cuddy Title apvd - to enrol 03/30 Rpt enrol - Sp signed - Pres signed 03/31 To Governor 04/17 Governor signed Session Law Chapter 427 Effective: 01/01/00
|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-fifth Legislature Second Regular Session - 2000 IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 608, As Amended in the Senate BY REVENUE AND TAXATION COMMITTEE 1 AN ACT 2 RELATING TO THE STATE INCOME TAX; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, 3 BY THE ADDITION OF NEW SECTIONS 63-3029E AND 63-3029F, IDAHO CODE, TO PRO- 4 VIDE DEFINITIONS AND CONSTRUCTION OF TERMS AND TO PROVIDE SPECIAL CREDITS 5 TO THE INCOME TAX FOR NEW EMPLOYEES FOR AN ENTERPRISE THAT PRODUCES, 6 ASSEMBLES, FABRICATES OR PROCESSES NATURAL RESOURCE PRODUCTS; DECLARING AN 7 EMERGENCY AND PROVIDING RETROACTIVE APPLICATION. 8 Be It Enacted by the Legislature of the State of Idaho: 9 SECTION 1. That Chapter 30, Title 63, Idaho Code, be, and the same is 10 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 11 ignated as Section 63-3029E, Idaho Code, and to read as follows: 12 63-3029E. DEFINITIONS -- CONSTRUCTION OF TERMS. As used in this section 13 and in section 63-3029F, Idaho Code: 14 (1) (a) "New employee" means a person from whom Idaho income tax has been 15 withheld, employed by the taxpayer in a revenue-producing enterprise cre- 16 ating value-added natural resource products, and covered for unemployment 17 insurance purposes under chapter 13, title 72, Idaho Code, during the tax- 18 able year for which the credit allowed by section 63-3029F, Idaho Code, is 19 claimed. A person shall be deemed to be so engaged if such person performs 20 duties on: 21 (i) A regular full-time basis; or 22 (ii) A part-time basis if such person is customarily performing such 23 duties at least twenty (20) hours per week. 24 No credit shall be earned unless the new employee shall have performed 25 such duties for the taxpayer for a minimum of nine (9) months during the 26 taxable year for which the credit is claimed. 27 (b) The provisions of paragraph (a) of this subsection notwithstanding, 28 no credit shall be allowed for employment of persons by a taxpayer who 29 acquires a revenue-producing enterprise from another taxpayer or who oper- 30 ates in a place of business the same or a substantially identical revenue- 31 producing value-added natural resource products enterprise as operated by 32 another taxpayer within the prior twelve (12) months, except as the prior 33 taxpayer would have qualified under the provisions of paragraph (c) of 34 this subsection. Employees transferred from a related taxpayer shall not 35 be included in the computation of the credit. 36 (c) The number of employees during any taxable year for any taxpayer 37 shall be the mathematical average of the number of employees reported to 38 the Idaho department of labor for employment security purposes during the 39 twelve (12) months of the taxable year which qualified under paragraph (a) 40 of this subsection. In the event the business is in operation for less 41 than the entire taxable year, the number of employees of the business for 42 the year shall be the average number actually employed during the months 43 of operation, providing that the qualifications of paragraph (a) of this 2 1 subsection are met. 2 (2) "Revenue-producing enterprise" means the production, assembly, fabri- 3 cation, manufacture or processing of any natural resource product. 4 (3) "Same or a substantially identical revenue-producing enterprise" 5 means a revenue-producing enterprise in which the products produced or sold, 6 or the activities conducted are the same in character and use and are pro- 7 duced, sold or conducted in the same manner as, or for the same types of cus- 8 tomers as, the products or activities produced, sold or conducted in another 9 revenue-producing enterprise. 10 SECTION 2. That Chapter 30, Title 63, Idaho Code, be, and the same is 11 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 12 ignated as Section 63-3029F, Idaho Code, and to read as follows: 13 63-3029F. SPECIAL CREDIT AVAILABLE -- NEW EMPLOYEES. (1) Any taxpayer 14 shall be allowed a credit, in an amount determined under subsection (2) of 15 this section, against the tax imposed by this chapter, other than the tax 16 imposed by section 63-3082, Idaho Code, for any taxable year during which the 17 taxpayer's employment of new employees, as defined under section 63-3029E(1), 18 Idaho Code, increases above the taxpayer's average employment for either: (a) 19 the prior taxable year, or (b) the average of three (3) prior taxable years, 20 whichever is higher. No credit shall be allowed under this section unless the 21 number of new employees equals or exceeds one (1) person. 22 (2) The credit authorized in subsection (1) of this section shall be five 23 hundred dollars ($500) per new employee, but the total credit allowed shall 24 not exceed three and one-quarter percent (3.25%) of net income from the 25 taxpayer's corporate, proprietorship, partnership, small business corporation 26 or limited liability company revenue-producing enterprise in which the employ- 27 ment occurred. Additionally, the total of this and all other credits allowed 28 under this chapter except for the credits allowed under sections 63-3024A, 29 63-3025D and 63-3029, Idaho Code, taken during any taxable year shall not 30 exceed forty-five percent (45%) of the tax otherwise imposed on the taxpayer 31 for the taxable year for which such credit is allowed. 32 (3) If the sum of the credit carryovers from the credit allowed by sub- 33 section (2) of this section and the amount of credit for the taxable year from 34 the credit allowed by subsection (2) of this section exceed the limitation 35 imposed by subsection (2) of this section for the current taxable year, the 36 excess attributable to the current taxable year's credit shall be a credit 37 carryover to the three (3) succeeding taxable years. The entire amount of 38 unused credit shall be carried forward to the earliest of the succeeding 39 years, wherein the oldest available unused credit shall be used first, so long 40 as the employment level for which the credit was granted is still maintained. 41 SECTION 3. An emergency existing therefor, which emergency is hereby 42 declared to exist, this act shall be in full force and effect on and after its 43 passage and approval, and retroactively to January 1, 2000.
|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-fifth Legislature Second Regular Session - 2000 Moved by Danielson Seconded by McLaughlin IN THE SENATE SENATE AMENDMENT TO H.B. NO. 608 1 AMENDMENT TO SECTION 1 2 On page 1 of the printed bill, in line 16, delete "wood" and insert: 3 "natural resource"; and in line 31, delete "wood" and insert: "natural 4 resource". 5 On page 2, in line 3, delete "wood" and insert "natural resource". 6 CORRECTION TO TITLE 7 On page 1, in line 6, delete "WOOD" and insert: "NATURAL RESOURCE".
STATEMENT OF PURPOSE RS 09999 The purpose of this legislation is to try and generate jobs in timber dependent communities that have been enduring job loss for the past several years. FISCAL IMPACT No accurate numbers are ascertainable but the fiscal impact is estimated to not exceed $175,000 from the General Fund. Contact Name: Rep. Charles Cuddy Phone: 332-1000 STATEMENT OF PURPOSE/FISCAL NOTE H 608