Fiscal Note

HB0415 - Taxation Amendments

State Impact:
Enactment of this bill reduces the general sales tax rate to 3.92%, which decreases revenue to the General Fund by $271,700,000 in FY 2010 and $277,134,000 in FY 2011. The bill eliminates certain credits, which increases one-time revenue to the Education Fund by $650,000,000 in FY 2010. The Tax Commission will require a one-time appropriation of $38,000 for new withholding booklets and postage.

Funding SourceFY 2009
Approp.
FY 2010
Approp.
FY 2011
Approp.
FY 2009
Revenue
FY 2010
Revenue
FY 2011
Revenue
General Fund$0$0$0$0($271,700,000)($277,134,000)
Education Fund, One-Time$0$38,000$0$0$650,000,000$0
   Total
$0

$38,000

$0

$0

$378,300,000

($277,134,000)

Individual, Business and/or Local Impact:
Individuals and businesses experience a one-time increase in income tax liability and an ongoing decrease in sales tax liability. Local entities are likely unaffected.

2/27/2009, 3:18:52 PM, Lead Analyst: Young, T.Office of the Legislative Fiscal Analyst