Fiscal Note & Local Impact Statement
127 th General Assembly of Ohio
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BILL: |
DATE: |
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STATUS: |
SPONSOR: |
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LOCAL IMPACT
STATEMENT REQUIRED: |
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CONTENTS: |
To allow taxpayers to contribute a portion of their income tax
refunds to the Ohio Historical Society |
STATE FUND |
FY 2007 |
FY 2008 |
FUTURE YEARS |
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General Revenue Fund |
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Revenues |
- 0 - |
- 0 - |
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Expenditures |
- 0 - |
Potential increase |
Potential increase |
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Ohio Historical Society
Income Tax Contribution Fund |
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Revenues |
- 0 - |
Potential increase |
Potential increase |
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Expenditures |
- 0 - |
Potential increase |
Potential increase |
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Note: The state
fiscal year is July 1 through June 30.
For example, FY 2007 is July 1, 2006 – June 30, 2007.
·
The
bill creates the Ohio Historical Society Income Tax Contribution Fund in the
state treasury, for the use of the Ohio Historical Society. The amount of revenue to the fund, and the
expenditures from it, will depend on the level of voluntary donations.
·
The
Ohio Historical Society is required to issue a report to the General Assembly
every second year. This may increase
expenditures by the Society, possibly from the new fund. Since the revenue for the new fund depends
on voluntary contributions, there is a possibility that the revenue would not
be sufficient to pay the full costs of producing the report. In that case the expenditures would be paid
from a GRF appropriation.
·
No
direct fiscal effect on political subdivisions.
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H.B. 16 proposes to create
the Ohio Historical Society Income Tax Contribution Fund in the state treasury,
for the use of the Ohio Historical Society.
The bill would permit taxpayers, through a new voluntary income tax
"check-off" contribution program, to designate a portion of any
refund due under the income tax for deposit to the new fund. A new check-off box will be added to the
personal income tax form to allow taxpayers to contribute a portion or all of
their income tax refunds. In addition,
the fund may accept direct contributions.
The new voluntary income tax
"check-off" program will be administered by the Department of
Taxation and its administration costs will be reimbursed from a portion of
revenue deposited into the fund, similar to current "check-off"
programs.[1] The remaining money collected from the new
voluntary "check-off" program or any direct contributions must be
used by the Historical Society to fund its prescribed functions.
Furthermore, in January of
every odd-numbered year, the Historical Society is required to submit a
biennial report on the effectiveness of the "check-off" program to
the General Assembly. The report must include
certain information as specified by the bill.
Fiscal effects
Because the new fund is
financed by voluntary gifts, there would be no loss of revenue to the GRF or to
the local government funds. The new
fund would likely receive some revenue, with the amount of such revenue
depending on the number and amount of voluntary contributions. Revenue raised due to the existing
designations on Ohio's income tax form suggest that revenue to the Ohio
Historical Society Income Tax Contribution Fund would be in the hundreds of thousands
of dollars, but because this fund is for a very different purpose, the amounts
given may be quite different. Thus, the
amount of revenue to the new fund is uncertain.
The bill has no direct
fiscal impact to local governments.
LSC fiscal staff: Ruhaiza Ridzwan, Economist
[1] The current refund "check-off" programs are for Ohio's wildlife species and endangered wildlife conservation; for nature preserves, scenic rivers, and endangered species protection; and for injured military personnel and their families.