COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 0848-01
Bill No.: SB 218
Subject: Railroads; Revenue Dept.; Taxation and Revenue - General, Sales and Use
Type: Original
Date: January 26, 2001
FISCAL SUMMARY
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| General Revenue | (Unknown) | (Unknown) | (Unknown) |
| School District Trust | (Unknown) | (Unknown) | (Unknown) |
| Conservation | (Unknown) | (Unknown) | (Unknown) |
| Parks and Soil | (Unknown) | (Unknown) | (Unknown) |
| Total Estimated
Net Effect on All State Funds* |
(UNKNOWN) |
(UNKNOWN) | (UNKNOWN) |
* Not expected to exceed $100,000 annually.
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Local Government | (UNKNOWN) | (UNKNOWN) | (UNKNOWN) |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Officials of the Department of Revenue (DOR) state this legislation as worded would create a sales tax exemption for all retail sales to a railroad of rail, ties, ballast and signal control equipment within the state of Missouri. DOR assumes this legislation would not fiscally impact its agency.
Officials from the Office of Administration - Budget and Planning (BAP) has not been able to find any empirical basis to estimate the fiscal impact of this proposal.
Since Oversight does not possess data regarding the incidence of railroad purchases within this state for use outside Missouri, revenue losses have been stated as unknown, not expected to exceed $100,000 annually to all affected funds.
This proposal would result in a minimal decrease in Total State Revenues.
| FISCAL IMPACT - State Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
|
Loss to State Funds: |
|||
| General Revenue Fund | (Unknown) | (Unknown) | (Unknown) |
| School District Trust Fund | (Unknown) | (Unknown) | (Unknown) |
| Conservation Sales Tax Fund | (Unknown) | (Unknown) | (Unknown) |
| Parks and Soil Sales Tax Fund | (Unknown) | (Unknown) | (Unknown) |
| ESTIMATED NET EFFECT ON ALL FUNDS* |
(UNKNOWN) |
(UNKNOWN) |
(UNKNOWN) |
| *Not expected to exceed $100,000 annually |
| FISCAL IMPACT - Local Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
|
Loss to Political Subdivisions |
(Unknown) |
(Unknown) |
(Unknown) |
|
ESTIMATED NET EFFECT ON LOCAL POLITICAL SUBDIVISIONS |
(UNKNOWN) |
(UNKNOWN) |
(UNKNOWN) |
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
DESCRIPTION
All retail sales to a railroad of rails, ties, ballast and signal control equipment within the state of Missouri are exempt from sales and use taxes if these materials are shipped wholly or in part under a bill of lading to a point outside of this state when the property is transported to the out-of-state destination for use by the purchasing railroad.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Revenue
Office of Administration
Budget and Planning
Jeanne Jarrett, CPA
Director
January 26, 2001