2001 SESSION

01-1050

04/09

HOUSE BILL 50-FN-A-LOCAL

COMMITTEE: Ways and Means

ANALYSIS

This bill:

I. Provides that 75 percent of revenues collected under the business profits tax and the business enterprise tax shall be deposited into the education trust fund.

II. Provides that a portion of the revenues collected under the tobacco tax, the real estate transfer tax, the motor vehicle rental portion of the tax on meals and rooms, and tobacco settlement funds, which were previously deposited into the education trust fund, shall be available as general fund revenues.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01-1050

04/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand One

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 State Treasurer; Application of Receipts Amended. Amend RSA 6:12, I (www) to read as follows:

(www) Money received under [RSA 77-A, RSA 77-E RSA 78, RSA 78-A, RSA 78-B,] RSA 77-A:15, I, RSA 77-E:11, I, RSA 83-F, RSA 198:46, and from the sweepstakes fund, which shall be credited to the education trust fund under RSA 198:39.

2 Business Profits Tax; Administration Amended. Amend RSA 77-A:15, I to read as follows:

I. The commissioner shall collect the taxes, interest, additions to tax and penalties imposed under this chapter. The commissioner shall determine the expense of administration of this chapter and shall certify and pay over to the state treasurer the amount of remaining balance of the funds collected under this chapter after the expenses of administration have been deducted. The state treasurer shall deposit 75 percent of this amount into the education trust fund established in RSA 198:39.

3 Business Enterprise Tax; Administration Amended. Amend RSA 77-E:11, I to read as follows:

I. The commissioner shall collect the taxes, interest, additions to tax, and penalties imposed under this chapter and RSA 21-J. The commissioner shall pay over this amount, less administrative expenses, to the state treasurer who shall deposit 75 percent of such amount into the education trust fund established in RSA 198:39.

4 School Money; Education Trust Fund; Revenues Deposited Amended. Amend RSA 198:39, I (a) and (b) to read as follows:

(a) Funds certified to the state treasurer by the commissioner of revenue administration pursuant to RSA [77-A:20-a] 77-A:15, I, relative to the business profits [taxes] tax.

(b) Funds certified to the state treasurer by the commissioner of revenue administration pursuant to RSA [77-E:14] 77-E:11, I, relative to the business enterprise tax.

5 Repeal. The following are repealed:

I. RSA 77-A:20-a, relative to the distribution of business profits tax revenues.

II. RSA 77-E:14, relative to the distribution of business enterprise tax revenues.

III. RSA 78:32, relative to the distribution of tobacco tax revenues.

IV. RSA 78-A:26, III, relative to disposition of revenue under the tax on meals and rooms.

V. RSA 78-B:13, relative to distribution of funds under the tax on transfer of real property.

VI. RSA 198:39, I (c)-(e), relative to certain funds deposited into the education trust fund.

VII. RSA 198:39, I (i), relative to the deposit of tobacco settlement funds into the education trust fund.

6 Effective Date. This act shall take effect July 1, 2001.

LBAO

01-1050

2/7/01

HB 50-FN-A-LOCAL - FISCAL NOTE

FISCAL IMPACT: