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H0387...............................................by REVENUE AND TAXATION SALES TAX - FOOD - Amends, repeals and adds to existing law to increase the "grocery" income tax credit; to provide an exemption from sales and use tax for food sold for human consumption; and providing effective dates. 03/29 House intro - 1st rdg - to printing 03/29 Rpt prt - to 2nd rdg Rls susp - PASSED - 60-1-9 AYES -- Barraclough, Barrett, Bedke, Bieter, Black, Boe, Bolz, Bradford, Callister, Chase, Collins, Cuddy, Deal, Denney, Ellis, Ellsworth, Eskridge, Field(13), Field(20), Gagner, Hadley, Hammond, Hansen, Harwood, Henbest(Farley), Higgins, Hornbeck, Jaquet, Jones, Kellogg, Kendell, Kunz, Langford, Loertscher, Marley, McKague, Meyer, Mortensen, Moss, Moyle, Pearce, Pischner, Pomeroy, Raybould, Ridinger, Roberts, Robison, Sali, Schaefer, Sellman, Shepherd, Smith, Smylie, Stone, Tilman, Trail, Wheeler, Wood, Young(Young), Mr. Speaker NAYS -- Stevenson Absent and excused -- Bell, Bruneel, Campbell, Clark, Crow, Gould, Lake, Mader, Montgomery Floor Sponsor -- Hansen Title apvd - to Senate 03/29 Senate intro - 1st rdg - to Loc Gov
|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-sixth Legislature First Regular Session - 2001IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 387 BY REVENUE AND TAXATION COMMITTEE 1 AN ACT 2 RELATING TO CERTAIN CREDITS AND REFUNDS AND SALES AND USE TAX; AMENDING SEC- 3 TION 63-3024A, IDAHO CODE, TO INCREASE INCOME TAX CREDITS, REFUNDS AND 4 PAYMENTS FROM THE REFUND FUND FOR CERTAIN RESIDENTS AND TO MAKE TECHNICAL 5 CORRECTIONS; REPEALING SECTION 63-3024A, IDAHO CODE; AMENDING CHAPTER 30, 6 TITLE 63, BY THE ADDITION OF A NEW SECTION 63-3024A, IDAHO CODE, TO PRO- 7 VIDE FOR CERTAIN TAX CREDITS AND REFUNDS; REPEALING SECTION 63-3024A, 8 IDAHO CODE; AMENDING SECTION 63-3029F, IDAHO CODE, TO STRIKE A CODE REF- 9 ERENCE; AMENDING SECTION 63-3619, IDAHO CODE, TO PROVIDE AN EXEMPTION FROM 10 SALES TAX FOR CERTAIN FOOD SOLD FOR HUMAN CONSUMPTION AND TO MAKE TECHNI- 11 CAL CORRECTIONS; AMENDING SECTION 63-3621, IDAHO CODE, TO PROVIDE AN 12 EXEMPTION FROM USE TAX FOR CERTAIN FOOD SOLD FOR HUMAN CONSUMPTION; AMEND- 13 ING SECTION 63-3638, IDAHO CODE, TO PROVIDE FOR AN INCREASE IN THE PER- 14 CENTAGE OF APPROPRIATED FUNDS DISTRIBUTED TO THE REVENUE SHARING ACCOUNT 15 AND TO MAKE TECHNICAL CORRECTIONS; DECLARING AN EMERGENCY, PROVIDING FOR 16 RETROACTIVE APPLICATION AND PROVIDING EFFECTIVE DATES. 17 Be It Enacted by the Legislature of the State of Idaho: 18 SECTION 1. That Section 63-3024A, Idaho Code, be, and the same is hereby 19 amended to read as follows: 20 63-3024A. CREDITS AND REFUNDS. (a) Any resident individual not entitled 21 to the credit allowed in subsection (b)(1), who is required to file by law and 22 who has filed an Idaho income tax return, shall be allowed a credit against 23 taxes due under the Idaho income tax act equal to the amount offifteenforty- 24 five dollars ($145.00) for each personal exemption for which a deduction is 25 permitted by section 151(b) and (c) of the Internal Revenue Code if such 26 deduction is claimed on the taxpayer's Idaho income tax return, and if the 27 individual for whom the deduction is claimed is a resident of the state of 28 Idaho. If taxes due are less than the total credit allowed, the taxpayer shall 29 be paid a refund equal to the balance of the unused credit. If the credit or 30 refund is not claimed for the year for which the individual income tax return 31 is filed, the right thereafter to claim such credit or refund shall be for- 32 feited. The state tax commission shall prescribe the method by which the 33 refund, if any, is to be made to the taxpayer. 34 (b) (1) A resident individual who has reached his sixty-fifth birthday 35 before the end of his taxable year, who is required to file by law and who 36 has filed an Idaho income tax return, shall be allowed a credit against 37 taxes due under the Idaho income tax act equal to the amount ofthirty38 ninety dollars ($390.00) for each personal exemption representing himself, 39 a spouse over the age of sixty-five (65) years, or a dependent over the 40 age of sixty-five (65) years, but shall be allowed a credit against taxes 41 due under the Idaho income tax act equal tofifteenforty-five dollars 42 ($145.00) for each personal exemption representing a spouse or dependent 43 under the age of sixty-five (65) years. If taxes due are less than the 2 1 total credit allowed, the taxpayer shall be paid a refund equal to the 2 balance of the unused credit. If the credit or refund is not claimed for 3 the year for which the individual income tax return is filed, the right 4 thereafter to claim such credit or refund shall be forfeited. The state 5 tax commission shall prescribe the method by which the refund, if any, is 6 to be made to the taxpayer. 7 (2) A resident individual who has reached his sixty-fifth birthday and is 8 not required by law to file an Idaho income tax return and who has 9 received no credit or refund under any other subsection of this section, 10 shall be entitled to a refund ofthirtyninety dollars ($390.00). Any 11 refund shall be paid to such individual only upon his making application 12 therefor at such time and in such manner as may be prescribed by the state 13 tax commission. 14 (c) A resident individual of the state of Idaho who is: 15 (i) blind, or 16 (ii) a disabled American veteran of any war engaged in by the United 17 States, whose disability is recognized as a service connected disability 18 of a degree of tenper centpercent (10%) or more, or who is in receipt of 19 a pension for nonservice connected disabilities, in accordance with laws 20 and regulations administered by the United States veterans administration, 21 substantiated by a statement as to status signed by a responsible officer 22 of the United States veterans administration, or 23 (iii) over sixty-two (62) years of age, and has been allowed none, or less 24 than all, of the credit provided by subsection (a) or subsection (b) of 25 this section, shall be entitled to a payment from the refund fund in an 26 amount equal tofifteenforty-five dollars ($145.00), or the balance of 27 his unused credit, whichever is less, upon making application therefor at 28 such time and in such manner as the state tax commission may prescribe. 29 (d) Any part-year resident entitled to a credit under this section shall 30 receive a proportionate credit, in the manner above provided, reflecting the 31 part of the year in which he was domiciled in this state. 32 (e) No credit or refund may be claimed for an exemption which represents 33 a person who has himself filed an Idaho income tax return claiming a deduction 34 for his own personal exemption, and in no event shall more than one (1) tax- 35 payer be allowed a credit or refund for the same exemption, or under more than 36 one (1) subsection of this section. 37 (f) The refunds authorized by this section shall be paid from the state 38 refund fund in the same manner as the refunds authorized by section 63-3067, 39 Idaho Code. 40 (g) An application for any refund which is due and payable under the pro- 41 visions of this section must be filed with the state tax commission within 42 three (3) years of: 43 (i) the due date, including extensions, of the return required under sec- 44 tion 63-3030, Idaho Code, if the applicant is required to file a return, 45 or 46 (ii) the 15th day of April of the year following the year to which the 47 application relates if the applicant is not required to file a return. 48 SECTION 2. That Section 63-3024A, Idaho Code, be, and the same is hereby 49 repealed. 50 SECTION 3. That Chapter 30, Title 63, Idaho Code, be, and the same is 51 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 52 ignated as Section 63-3024A, Idaho Code, and to read as follows: 3 1 63-3024A. CREDITS AND REFUNDS. (a) Any resident individual not entitled 2 to the credit allowed in subsection (b)(1), who is required to file by law and 3 who has filed an Idaho income tax return, shall be allowed a credit against 4 taxes due under the Idaho income tax act equal to the amount of seventy-five 5 dollars ($75.00) for each personal exemption for which a deduction is permit- 6 ted by section 151(b) and (c) of the Internal Revenue Code if such deduction 7 is claimed on the taxpayer's Idaho income tax return, and if the individual 8 for whom the deduction is claimed is a resident of the state of Idaho. If 9 taxes due are less than the total credit allowed, the taxpayer shall be paid a 10 refund equal to the balance of the unused credit. If the credit or refund is 11 not claimed for the year for which the individual income tax return is filed, 12 the right thereafter to claim such credit or refund shall be forfeited. The 13 state tax commission shall prescribe the method by which the refund, if any, 14 is to be made to the taxpayer. 15 (b) (1) A resident individual who has reached his sixty-fifth birthday 16 before the end of his taxable year, who is required to file by law and who 17 has filed an Idaho income tax return, shall be allowed a credit against 18 taxes due under the Idaho income tax act equal to the amount of one hun- 19 dred fifty dollars ($150) for each personal exemption representing him- 20 self, a spouse over the age of sixty-five (65) years, or a dependent over 21 the age of sixty-five (65) years, but shall be allowed a credit against 22 taxes due under the Idaho income tax act equal to seventy-five dollars 23 ($75.00) for each personal exemption representing a spouse or dependent 24 under the age of sixty-five (65) years. If taxes due are less than the 25 total credit allowed, the taxpayer shall be paid a refund equal to the 26 balance of the unused credit. If the credit or refund is not claimed for 27 the year for which the individual income tax return is filed, the right 28 thereafter to claim such credit or refund shall be forfeited. The state 29 tax commission shall prescribe the method by which the refund, if any, is 30 to be made to the taxpayer. 31 (2) A resident individual who has reached his sixty-fifth birthday and is 32 not required by law to file an Idaho income tax return and who has 33 received no credit or refund under any other subsection of this section, 34 shall be entitled to a refund of one hundred fifty dollars ($150). Any 35 refund shall be paid to such individual only upon his making application 36 therefor at such time and in such manner as may be prescribed by the state 37 tax commission. 38 (c) A resident individual of the state of Idaho who is: 39 (i) blind, or 40 (ii) a disabled American veteran of any war engaged in by the United 41 States, whose disability is recognized as a service connected disability 42 of a degree of ten percent (10%) or more, or who is in receipt of a pen- 43 sion for nonservice connected disabilities, in accordance with laws and 44 regulations administered by the United States veterans administration, 45 substantiated by a statement as to status signed by a responsible officer 46 of the United States veterans administration, or 47 (iii) over sixty-two (62) years of age, and has been allowed none, or less 48 than all, of the credit provided by subsection (a) or subsection (b) of 49 this section, shall be entitled to a payment from the refund fund in an 50 amount equal to seventy-five dollars ($75.00), or the balance of his 51 unused credit, whichever is less, upon making application therefor at such 52 time and in such manner as the state tax commission may prescribe. 53 (d) Any part-year resident entitled to a credit under this section shall 54 receive a proportionate credit, in the manner above provided, reflecting the 55 part of the year in which he was domiciled in this state. 4 1 (e) No credit or refund may be claimed for an exemption which represents 2 a person who has himself filed an Idaho income tax return claiming a deduction 3 for his own personal exemption, and in no event shall more than one (1) tax- 4 payer be allowed a credit or refund for the same exemption, or under more than 5 one (1) subsection of this section. 6 (f) The refunds authorized by this section shall be paid from the state 7 refund fund in the same manner as the refunds authorized by section 63-3067, 8 Idaho Code. 9 (g) An application for any refund which is due and payable under the pro- 10 visions of this section must be filed with the state tax commission within 11 three (3) years of: 12 (i) the due date, including extensions, of the return required under sec- 13 tion 63-3030, Idaho Code, if the applicant is required to file a return, 14 or 15 (ii) the 15th day of April of the year following the year to which the 16 application relates if the applicant is not required to file a return. 17 SECTION 4. That Section 63-3024A, Idaho Code, be, and the same is hereby 18 repealed. 19 SECTION 5. That Section 63-3029F, Idaho Code, be, and the same is hereby 20 amended to read as follows: 21 63-3029F. SPECIAL CREDIT AVAILABLE -- NEW EMPLOYEES. (1) Any taxpayer 22 shall be allowed a credit, in an amount determined under subsection (2) of 23 this section, against the tax imposed by this chapter, other than the tax 24 imposed by section 63-3082, Idaho Code, for any taxable year during which the 25 taxpayer's employment of new employees, as defined under section 63-3029E(1), 26 Idaho Code, increases above the taxpayer's average employment for either: (a) 27 the prior taxable year, or (b) the average of three (3) prior taxable years, 28 whichever is higher. No credit shall be allowed under this section unless the 29 number of new employees equals or exceeds one (1) person. 30 (2) The credit authorized in subsection (1) of this section shall be five 31 hundred dollars ($500) per new employee, but the total credit allowed shall 32 not exceed three and one-quarter percent (3.25%) of net income from the 33 taxpayer's corporate, proprietorship, partnership, small business corporation 34 or limited liability company revenue-producing enterprise in which the employ- 35 ment occurred. Additionally, the total of this and all other credits allowed 36 under this chapter except for the credits allowed under sections63-3024A,37 63-3025D and 63-3029, Idaho Code, taken during any taxable year shall not 38 exceed forty-five percent (45%) of the tax otherwise imposed on the taxpayer 39 for the taxable year for which such credit is allowed. 40 (3) If the sum of the credit carryovers from the credit allowed by sub- 41 section (2) of this section and the amount of credit for the taxable year from 42 the credit allowed by subsection (2) of this section exceed the limitation 43 imposed by subsection (2) of this section for the current taxable year, the 44 excess attributable to the current taxable year's credit shall be a credit 45 carryover to the three (3) succeeding taxable years. The entire amount of 46 unused credit shall be carried forward to the earliest of the succeeding 47 years, wherein the oldest available unused credit shall be used first, so long 48 as the employment level for which the credit was granted is still maintained. 49 SECTION 6. That Section 63-3619, Idaho Code, be, and the same is hereby 50 amended to read as follows: 5 1 63-3619. IMPOSITION AND RATE OF THE SALES TAX. An excise tax is hereby 2 imposed upon each sale at retail at the rate of fiveper centpercent (5%) of 3 the sales price of all retail sales subject to taxation under this chapterand4such amountwith the exception of food sold for human consumption which shall 5 be exempt from sales taxation. The types and kinds of food products eligible 6 for sales tax exemption shall be the same types and kinds of food products 7 that are eligible for purchases made with coupons issued under the federal 8 food stamp act of 1977 and the food security act of 1985 and do not include 9 restaurant sales of food. The excise tax as set forth herein shall be computed 10 monthly on all sales at retail within the preceding month. 11 (a) The tax shall apply to, be computed on, and collected for all credit, 12instalmentinstallment, conditional or similar sales at the time of the sale 13 or, in the case of rentals, at the time the rental is charged. 14 (b) The tax hereby imposed shall be collected by the retailer from the 15 consumer. 16 (c) The state tax commission shall provide schedules for collection of 17 the tax on sales which involve a fraction of a dollar. The retailer shall cal- 18 culate the tax upon the entire amount of the purchases of the consumer made at 19 a particular time and not separately upon each item purchased. The retailer 20 may retain any amount collected under the bracket system prescribed which is 21 in excess of the amount of tax for which he is liable to the state during the 22 period as compensation for the work of collecting the tax. 23 (d) It is unlawful for any retailer to advertise or hold out or state to 24 the public or to any customer, directly or indirectly, that the tax or any 25 part thereof will be assumed or absorbed by the retailer or that it will not 26 be added to the selling price of the property sold or that if added it or any 27 part thereof will be refunded. Any person violating any provision of this sec- 28 tion is guilty of a misdemeanor. 29 (e) The tax commission may by rule provide that the amount collected by 30 the retailer from the customer in reimbursement of the tax be displayed sepa- 31 rately from the list price, the price advertised on the premises, the marked 32 price, or other price on the sales slip or other proof of sale. 33 (f) The taxes imposed by this chapter shall apply to the sales to con- 34 tractors purchasing for use in the performance of contracts with the United 35 States. 36 SECTION 7. That Section 63-3621, Idaho Code, be, and the same is hereby 37 amended to read as follows: 38 63-3621. IMPOSITION AND RATE OF THE USE TAX -- EXEMPTIONS. An excise tax 39 is hereby imposed on the storage, use, or other consumption in this state of 40 tangible personal property acquired on or after July 1, 1965, for storage, 41 use, or other consumption in this state at the rate of five percent (5%) of 42 the value of the property,andwith the exception of food sold for human con- 43 sumption which shall be exempt from use taxation. The types and kinds of food 44 products eligible for use tax exemption shall be the same types and kinds of 45 food products that are eligible for purchases made with coupons issued under 46 the federal food stamp act of 1977 and the food security act of 1985 and do 47 not include restaurant sales of food. Aarecent sales price shall be presump- 48 tive evidence of the value of the property unless the property is wireless 49 telecommunications equipment, in which case a recent sales price shall be con- 50 clusive evidence of the value of the property. 51 (a) Every person storing, using, or otherwise consuming, in this state, 52 tangible personal property is liable for the tax. His liability is not extin- 53 guished until the tax has been paid to this state except that a receipt from a 6 1 retailer maintaining a place of business in this state or engaged in business 2 in this state given to the purchaser is sufficient to relieve the purchaser 3 from further liability for the tax to which the receipt refers. A retailer 4 shall not be considered to have stored, used or consumed wireless telecommuni- 5 cations equipment by virtue of giving, selling or otherwise transferring such 6 equipment at a discount as an inducement to a consumer to commence or continue 7 a contract for telecommunications service. 8 (b) Every retailer engaged in business in this state, and making sales of 9 tangible personal property for the storage, use, or other consumption in this 10 state, not exempted under section 63-3622, Idaho Code, shall, at the time of 11 making the sales or, if storage, use or other consumption of the tangible per- 12 sonal property is not then taxable hereunder, at the time the storage, use, or 13 other consumption becomes taxable, collect the tax from the purchaser and give 14 to the purchaser a receipt therefor in the manner and form prescribed by the 15 state tax commission. 16 (c) The provisions of this section shall not apply when the retailer pays 17 sales tax on the transaction and collects reimbursement for such sales tax 18 from the customer. 19 (d) Every retailer engaged in business in this state or maintaining a 20 place of business in this state shall register with the state tax commission 21 and give the name and address of all agents operating in this state, the loca- 22 tion of all distributions or sales houses or offices or other places of busi- 23 ness in this state, and such other information as the state tax commission may 24 require. 25 (e) For the purpose of the proper administration of this act and to pre- 26 vent evasion of the use tax and the duty to collect the use tax, it shall be 27 presumed that tangible personal property sold by any person for delivery in 28 this state is sold for storage, use, or other consumption in this state. The 29 burden of proving the sale is tax exempt is upon the person who makes the sale 30 unless he obtains from the purchaser a resale certificate to the effect that 31 the property is purchased for resale or rental. It shall be presumed that 32 sales made to a person who has completed a resale certificate for the seller's 33 records are not taxable and the seller need not collect sales or use taxes 34 unless the tangible personal property purchased is taxable to the purchaser as 35 a matter of law in the particular instance claimed on the resale certificate. 36 A seller may accept a resale certificate from a purchaser prior to the 37 time of sale, at the time of sale, or at any reasonable time after the sale 38 when necessary to establish the privilege of the exemption. The resale certif- 39 icate relieves the person selling the property from the burden of proof only 40 if taken from a person who is engaged in the business of selling or renting 41 tangible personal property and who holds the permit provided for by section 42 63-3620, Idaho Code, or who is a retailer not engaged in business in this 43 state, and who, at the time of purchasing the tangible personal property, 44 intends to sell or rent it in the regular course of business or is unable to 45 ascertain at the time of purchase whether the property will be sold or will be 46 used for some other purpose. Other than as provided elsewhere in this section, 47 when a resale certificate, properly executed, is presented to the seller, the 48 seller has no duty or obligation to collect sales or use taxes in regard to 49 any sales transaction so documented regardless of whether the purchaser prop- 50 erly or improperly claimed an exemption. A seller so relieved of the obliga- 51 tion to collect tax is also relieved of any liability to the purchaser for 52 failure to collect tax or for making any report or disclosure of information 53 required or permitted under this chapter. 54 The resale certificate shall bear the name and address of the purchaser, 55 shall be signed by the purchaser or his agent, shall indicate the number of 7 1 the permit issued to the purchaser, or that the purchaser is an out-of-state 2 retailer, and shall indicate the general character of the tangible personal 3 property sold by the purchaser in the regular course of business. The certifi- 4 cate shall be substantially in such form as the state tax commission may pre- 5 scribe. 6 (f) If a purchaser who gives a resale certificate makes any storage or 7 use of the property other than retention, demonstration or display while hold- 8 ing it for sale in the regular course of business, the storage or use is tax- 9 able as of the time the property is first so stored or used. 10 (g) Any person violating any provision of this section is guilty of a 11 misdemeanor and punishable by a fine not in excess of one hundred dollars 12 ($100), and each violation shall constitute a separate offense. 13 (h) It shall be presumed that tangible personal property shipped or 14 brought to this state by the purchaser was purchased from a retailer, for 15 storage, use or other consumption in this state. 16 (i) It shall be presumed that tangible personal property delivered out- 17 side this state to a purchaser known by the retailer to be a resident of this 18 state was purchased from a retailer for storage, use, or other consumption in 19 this state. This presumption may be controverted by evidence satisfactory to 20 the state tax commission that the property was not purchased for storage, use, 21 or other consumption in this state. 22 (j) When the tangible personal property subject to use tax has been sub- 23 jected to a general retail sales or use tax by another state of the United 24 States in an amount equal to or greater than the amount of the Idaho tax, and 25 evidence can be given of such payment, the property will not be subject to 26 Idaho use tax. If the amount paid the other state was less, the property will 27 be subject to use tax to the extent that the Idaho tax exceeds the tax paid to 28 the other state. For the purposes of this subsection, a registration certifi- 29 cate or title issued by another state or subdivision thereof for a vehicle or 30 trailer or a vessel as defined in section 67-7003, Idaho Code, shall be suffi- 31 cient evidence of payment of a general retail sales or use tax. 32 (k) The use tax herein imposed shall not apply to the use by a nonresi- 33 dent of this state of a motor vehicle which is registered or licensed under 34 the laws of the state of his residence and is not used in this state more than 35 a cumulative period of time totaling ninety (90) days in any consecutive 36 twelve (12) months, and which is not required to be registered or licensed 37 under the laws of this state. 38 (l) The use tax herein imposed shall not apply to the use of household 39 goods and personal effects by a resident of this state, if such articles were 40 acquired by such person in another state while a resident of that state and 41 primarily for use outside this state and if such use was actual and substan- 42 tial, but if an article was acquired less than three (3) months prior to the 43 time he entered this state, it will be presumed that the article was acquired 44 for use in this state and that its use outside this state was not actual and 45 substantial. For purposes of this subsection, "resident" shall be as defined 46 in section 63-3013 or 63-3013A, Idaho Code. 47 (m) The use tax herein imposed shall not apply to the storage, use or 48 other consumption of tangible personal property which is or will be incorpo- 49 rated into real property and which has been donated to and has become the 50 property of: 51 (1) A nonprofit organization as defined in section 63-3622O, Idaho Code; 52 or 53 (2) The state of Idaho; or 54 (3) Any political subdivision of the state. 55 This exemption applies whether the tangible personal property is incorporated 8 1 in real property by the donee, a contractor or subcontractor of the donee, or 2 any other person. 3 SECTION 8. That Section 63-3638, Idaho Code, be, and the same is hereby 4 amended to read as follows: 5 63-3638. SALES TAX -- DISTRIBUTION. All moneys collected under this chap- 6 ter, except as may otherwise be required in section 63-3203, Idaho Code, shall 7 be distributed by the tax commission as follows: 8 (1) An amount of money shall be distributed to the state refund account 9 sufficient to pay current refund claims. All refunds authorized under this 10 chapter by the commission shall be paid through the state refund account, and 11 those moneys are continuously appropriated. 12 (2) Five million dollars ($5,000,000) per year is continuously appropri- 13 ated and shall be distributed to the permanent building fund, provided by sec- 14 tion 57-1108, Idaho Code. 15 (3) Four million eight hundred thousand dollars ($4,800,000) per year is 16 continuously appropriated and shall be distributed to the water pollution con- 17 trol account established by section 39-3605, Idaho Code. 18 (4) An amount equal to the sum required to be certified by the chairman 19 of the Idaho housing and finance association to the state tax commission pur- 20 suant to section 67-6211, Idaho Code, in each year is continuously appropri- 21 ated and shall be paid to any capital reserve fund, established by the Idaho 22 housing and finance association pursuant to section 67-6211, Idaho Code. Such 23 amounts, if any, as may be appropriated hereunder to the capital reserve fund 24 of the Idaho housing and finance association shall be repaid for distribution 25 under the provisions of this section, subject to the provisions of section 26 67-6215, Idaho Code, by the Idaho housing and finance association, as soon as 27 possible, from any moneys available therefor and in excess of the amounts 28 which the association determines will keep it self-supporting. 29 (5) An amount equal to the sum required by the provisions of section 30 63-709, Idaho Code, is continuously appropriated and shall be paid as provided 31 by section 63-709, Idaho Code. 32 (6) An amount required by the provisions of chapter 53, title 33, Idaho 33 Code.of this section34 (7) One dollar ($1.00) on each application for certificate of title or 35 initial application for registration of a motor vehicle, snowmobile, all- 36 terrain vehicle or other vehicle processed by the county assessor or the Idaho 37 transportation department excepting those applications in which any sales or 38 use taxes due have been previously collected by a retailer, shall be a fee for 39 the services of the assessor of the county or the Idaho transportation depart- 40 ment in collecting such taxes, and shall be paid into the current expense fund 41 of the county or state highway account established in section 40-702, Idaho 42 Code. 43 (8)ThirteenSixteen andthree-quarterstwo-tenths percent (13.7516.2%) 44 is continuously appropriated and shall be distributed to the revenue sharing 45 account which is created in the state treasury, and the moneys in the revenue 46 sharing account will be paid by the tax commission as follows: 47 (a) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var- 48 ious cities as follows: 49 (i) Fifty percent (50%) of such amount shall be paid to the various 50 cities, and each city shall be entitled to an amount in the propor- 51 tion that the population of that city bears to the population of all 52 cities within the state; and 53 (ii) Fifty percent (50%) of such amount shall be paid to the various 9 1 cities, and each city shall be entitled to an amount in the propor- 2 tion that the preceding year's market value for assessment purposes 3 for that city bears to the preceding year's market value for assess- 4 ment purposes for all cities within the state. 5 (b) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var- 6 ious counties as follows: 7 (i) One million three hundred twenty thousand dollars ($1,320,000) 8 shall be distributed one forty-fourth (1/44) to each of the various 9 counties; and 10 (ii) The balance of such amount shall be paid to the various coun- 11 ties, and each county shall be entitled to an amount in the propor- 12 tion that the population of that county bears to the population of 13 the state; 14 (c) Thirty-five and nine-tenths percent (35.9%) of the amount appropri- 15 ated in this subsection (8) shall be paid to the several counties for dis- 16 tribution to the cities and counties as follows: 17 (i) Each city and county which received a payment under the provi- 18 sions of section 63-3638(e), Idaho Code, during the fourth quarter of 19 calendar year 1999, shall be entitled to a like amount during suc- 20 ceeding calendar quarters. 21 (ii) If the dollar amount of money available under this subsection 22 (8)(c) in any quarter does not equal the amount paid in the fourth 23 quarter of calendar year 1999, each city's and county's payment shall 24 be reduced proportionately. 25 (iii) If the dollar amount of money available under this subsection 26 (8)(c) in any quarter exceeds the amount paid in the fourth quarter 27 of calendar year 1999, each city and county shall be entitled to a 28 proportionately increased payment, but such increase shall not exceed 29 one hundred five percent (105%) of the total payment made in the 30 fourth quarter of calendar year 1999. 31 (iv) If the dollar amount of money available under this subsection 32 (8)(c) in any quarter exceeds one hundred five percent (105%) of the 33 total payment made in the fourth quarter of calendar year 1999, any 34 amount over and above such one hundred five percent (105%) shall be 35 paid fifty percent (50%) to the various cities in the proportion that 36 the population of the city bears to the population of all cities 37 within the state, and fifty percent (50%) to the various counties in 38 the proportion that the population of a county bears to the popula- 39 tion of the state; and 40 (d) Seven and seven-tenths percent (7.7%) of the amount appropriated in 41 this subsection (8) shall be paid to the several counties for distribution 42 to special purpose taxing districts as follows: 43 (i) Each such district which received a payment under the provi- 44 sions of section 63-3638(e), Idaho Code, during the fourth quarter of 45 calendar year 1999, shall be entitled to a like amount during suc- 46 ceeding calendar quarters. 47 (ii) If the dollar amount of money available under this subsection 48 (8)(d) in any quarter exceeds the amount distributed under paragraph 49 (i) of this subsection (8)(d), each special purpose taxing district 50 shall be entitled to a share of the excess based on the proportion 51 each such district's current property tax budget bears to the sum of 52 the current property tax budgets of all such districts in the state. 53 The state tax commission shall calculate district current property 54 tax budgets to include any unrecovered foregone amounts as determined 55 under section 63-802(1)(e), Idaho Code. When a special purpose taxing 10 1 district is situated in more than one (1) county, the tax commission 2 shall determine the portion attributable to the special purpose tax- 3 ing district from each county in which it is situated. 4 (iii) If special purpose taxing districts are consolidated, the 5 resulting district is entitled to a base amount equal to the sum of 6 the base amounts which were received in the last calendar quarter by 7 each district prior to the consolidation. 8 (iv) If a special purpose taxing district is dissolved or 9 disincorporated, the state tax commission shall continuously distrib- 10 ute to the board of county commissioners an amount equal to the last 11 quarter's distribution prior to dissolution or disincorporation. The 12 board of county commissioners shall determine any redistribution of 13 moneys so received. 14 (v) Taxing districts formed after January 1, 2001, are not entitled 15 to a payment under the provisions of this subsection (8)(d). 16 (vi) For purposes of this subsection (8)(d), a special purpose tax- 17 ing district is any taxing district which is not a city, a county or 18 a school district. 19 (9) Any moneys remaining over and above those necessary to meet and 20 reserve for payments under other subsections of this section shall be distrib- 21 uted to the generalaccountfund. 22 SECTION 9. An emergency existing therefor, which emergency is hereby 23 declared to exist, Section 1 of this act shall be in full force and effect on 24 and after passage and approval, and retroactively to January 1, 2001; Sections 25 2 and 3 of this act shall be in full force and effect on and after January 1, 26 2002; Sections 4 and 5 of this act shall be in full force and effect on and 27 after January 1, 2003; and Sections 6, 7 and 8 of this act shall be in full 28 force and effect on and after July 1, 2003.
STATEMENT OF PURPOSE RS 11256 To increase the grocery tax credit to $45.00 for the calendar year 2001 and then increase the grocery tax credit to $75.00 for the calendar year 2002 and then repeal sales tax on food beginning July 1, 2003. The increased grocery tax credit would also be repealed effective January 1, 2003. The definition for "food" would be the same as for food stamps. FISCAL IMPACT Increasing the grocery tax credit to $45.00 would have projected fiscal impact of $37.2 Million to the General Fund for fiscal year 2002. Increasing the grocery tax credit to $75.00 would have an additional projected fiscal impact of $37.9 Million to the General Fund for fiscal year 2003. Repealing sales tax on "food" as of July 1, 2003 would have a General Fund impact of $129.4 Million for fiscal year 2004 which would be offset by the $94.7 Million gained from repealing the increased grocery tax credit. This would result in a net projected fiscal impact of $34.7 Million to the General Fund for fiscal year 2004. Contact Name: Rep. Bill Sali, Rep. George Eskridge, Rep. Julie Ellesworth, Rep. Randy Hansen, Rep. Monte Pearce, Rep. Ken Roberts, Rep. Mike Moyle, Rep. Cameron Wheeler, Rep. JoAn Wood REP. Roper Chase Phone 332-1000 STATEMENT OF PURPOSE/FISCAL NOTE H387