2008 Legislation
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HOUSE BILL NO. 562<br /> – New capital investmnt incentive act

HOUSE BILL NO. 562

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Bill Status



H0562...............................................by REVENUE AND TAXATION
CAPITAL INVESTMENTS - PROPERTY TAX EXEMPTIONS - Adds to existing law to
provide a property tax exemption for certain new capital investments over
$400,000,000 in a single county.

02/26    House intro - 1st rdg - to printing
02/27    Rpt prt - to Rev/Tax
02/29    Rpt out - rec d/p - to 2nd rdg
03/03    2nd rdg - to 3rd rdg
03/05    3rd rdg - PASSED - 41-27-2
      AYES -- Andrus, Barrett, Bedke, Bilbao, Black, Block, Bolz, Bowers,
      Brackett, Bradford, Chadderdon, Clark, Collins, Crane, Hagedorn,
      Hart, Harwood, Henderson, Lake, Loertscher, Marriott, Mathews,
      McGeachin, Mortimer, Moyle, Nielsen, Raybould, Roberts, Rusche,
      Sayler, Schaefer, Shepherd(02), Shirley, Shively, Snodgrass,
      Stevenson, Thomas, Wills, Wood(27), Wood(35), Mr. Speaker
      NAYS -- Bayer, Bell, Bock, Boe, Chavez, Chew, Durst, Eskridge,
      Henbest, Jaquet, Killen, King, Kren, Labrador, LeFavour, Luker,
      Pasley-Stuart, Patrick, Pence, Ringo, Ruchti, Shepherd(08),
      Smith(30), Smith(24), Thayn, Trail, Vander Woude
      Absent and excused -- Anderson, Nonini
    Floor Sponsor - Mortimer
    Title apvd - to Senate
03/06    Senate intro - 1st rdg - to Loc Gov
03/13    Rpt out - rec d/p - to 2nd rdg
03/14    2nd rdg - to 3rd rdg
03/17    3rd rdg - PASSED - 23-11-1
      AYES -- Andreason, Bair, Bastian, Broadsword, Cameron, Darrington,
      Davis, Fulcher, Geddes, Goedde, Hammond, Heinrich, Hill, Jorgenson,
      Keough, Lodge, Malepeai(Sagness), McGee, McKague, McKenzie, Pearce,
      Richardson, Siddoway
      NAYS -- Bilyeu, Burkett, Coiner, Corder, Kelly, Langhorst, Little,
      Schroeder, Stegner, Stennett, Werk
      Absent and excused -- Gannon
    Floor Sponsor - Hill
    Title apvd - to House
03/18    To enrol - Rpt enrol - Sp signed
03/19    Pres signed - To Governor
03/24    Governor signed
         Session Law Chapter 234
         Effective: 01/01/08

Bill Text




                                                                       
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   Second Regular Session - 2008

                                                                       

                              IN THE HOUSE OF REPRESENTATIVES

                                     HOUSE BILL NO. 562

                             BY REVENUE AND TAXATION COMMITTEE

  1                                        AN ACT
  2    RELATING TO TAXATION; AMENDING TITLE 63, IDAHO CODE, BY THE ADDITION OF A  NEW
  3        CHAPTER  45,  TITLE 63, IDAHO CODE, TO PROVIDE A SHORT TITLE, TO PROVIDE A
  4        PROPERTY TAX EXEMPTION FOR CERTAIN  NEW  CAPITAL  INVESTMENTS,  TO  DEFINE
  5        TERMS, TO PROVIDE PROCEDURES AND TO PROVIDE RULES; PROVIDING SEVERABILITY;
  6        DECLARING AN EMERGENCY AND PROVIDING RETROACTIVE APPLICATION.

  7    Be It Enacted by the Legislature of the State of Idaho:

  8        SECTION  1.  That Title 63, Idaho Code, be, and the same is hereby amended
  9    by the addition thereto of a NEW CHAPTER, to be known and designated as  Chap-
 10    ter 45, Title 63, Idaho Code, and to read as follows:

 11                                      CHAPTER 45
 12                        NEW CAPITAL INVESTMENTS INCENTIVE ACT

 13        63-4501.  SHORT TITLE. This chapter shall be known and may be cited as the
 14    "Idaho New Capital Investments Incentive Act of 2008."

 15        63-4502.  TAX  EXEMPTION  FOR  NEW  CAPITAL  INVESTMENTS. (1) For calendar
 16    years beginning on or after January 1, 2008, the  net  taxable  value  of  all
 17    property   of   a   taxpayer   in  excess  of  four  hundred  million  dollars
 18    ($400,000,000) located within a single county in Idaho shall  be  exempt  from
 19    property taxation and any special assessment, but only to the extent that such
 20    property  constitutes a new capital investment as defined in subsection (2) of
 21    this section.
 22        (2)  For purposes of this section, the following definitions shall apply:
 23        (a)  "New capital investment" means an investment of at least one  billion
 24        dollars  ($1,000,000,000)  made  during the project period by the acquisi-
 25        tion, construction, improvement or installation of real or personal  prop-
 26        erty  related  to  new  plant  and  building  facilities at a project site
 27        located within the county referred to in subsection (1) of this section.
 28        (b)  "New plant and building facilities" means:
 29             (i)   Qualified investments as defined  in  section  63-3029B,  Idaho
 30             Code; or
 31             (ii)  Buildings or structural components of buildings.
 32        (c)  "Project  period"  means  the  period  of time beginning at the first
 33        inspection of the permanent building structure following issuance  of  the
 34        building  permit,  but in no case earlier than January 1, 2008, and ending
 35        no later than seven (7) years after  the  calendar   year  in  which  such
 36        inspection takes place.
 37        (d)  "Project  site"  means  an  area  or areas at which the new plant and
 38        building facilities described in subsection (2)(b)  of  this  section  are
 39        located.
 40        (3)  The  property included in the calculation for purposes of determining
 41    investment value shall include all real property owned, and all personal prop-

                                       2

  1    erty owned, leased or rented. With respect to leased or rented personal  prop-
  2    erty,  only that portion of the property for which a taxpayer is contractually
  3    liable for payment of property taxes thereon, shall be included in the  calcu-
  4    lation of the investment.
  5        (4)  Notwithstanding  the  exemption provided in subsection (4) of section
  6    63-3029B, Idaho Code, no other exemption from  property  tax  or  any  special
  7    assessment  provided  by the statutes of this state shall be applicable to any
  8    property described in subsection (2) of this section with respect to a year in
  9    which the incentives set forth in subsection (1) of this section apply to  any
 10    of the same property.
 11        (5)  Property  subject  to  the  provisions  of  this section shall not be
 12    included on the property roll or the new construction  roll  prepared  by  the
 13    county  assessor  in  accordance  with  section 63-301 or 63-301A, Idaho Code,
 14    respectively.
 15        (6)  The state tax commission shall adopt all rules that may be  necessary
 16    to implement the provisions of this section.

 17        SECTION  2.  SEVERABILITY.  The provisions of this act are hereby declared
 18    to be severable and if any provision of this act or the  application  of  such
 19    provision  to  any  person or circumstance is declared invalid for any reason,
 20    such declaration shall not affect the validity of the  remaining  portions  of
 21    this act.

 22        SECTION  3.  An  emergency  existing  therefor,  which emergency is hereby
 23    declared to exist, this act shall be in full force and effect on and after its
 24    passage and approval, and retroactively to January 1, 2008.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE

                             RS 17926

     The purpose of the New Capital Investments Incentive Act of
2008 is to provide incentive for major capital investment in
Idaho.


                           FISCAL NOTE

     This proposed legislation has no fiscal impact to the state.







Contact
Name: Representative Lake 
Phone: 332-1000
Senator Geddes, Senator Davis, Senator Hill, Senator Siddoway,
Senator Richardson, Senator Bair, Representative Lake,
Representative Bedke, Representative Marriott, Representative
McGeachin, Representative Mortimer, Representative Mathews,
Representative Shirley, Representative Raybould, Representative
Moyle


STATEMENT OF PURPOSE/FISCAL NOTE                         H 562