HB 493-FN-A – AS INTRODUCED
2007 SESSION
09/10
HOUSE BILL 493-FN-A
AN ACT expanding the meals and rooms tax on rentals to include motorized recreational vehicles.
SPONSORS: Rep. D. Smith, Hills 22; Rep. Casey, Rock 11; Rep. Hilliard, Straf 2; Rep. Heald, Belk 3
This bill expands the meals and rooms tax on rentals to include motorized recreational vehicles.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
07-0744
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seven
AN ACT expanding the meals and rooms tax on rentals to include motorized recreational vehicles.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Tax on Rental of Motor Vehicles; Exemption. Amend RSA 78-A:3, XIV to read as follows:
XIV. “Motor vehicle” means:
(a) A self-propelled vehicle designed to transport persons or property on a public highway that is required by law to be registered for operation on public highways.
(b) A motorized recreational vehicle, including, but not limited to, all types of motorized boats, jet skies, snowmobiles, ATVs, OHRVs, and any trailer used to transport the motorized recreational vehicle, whether the trailer is rented separately or with the recreational vehicles.
2 Disposition of Revenue; Tax on Rentals of Motor Vehicles. Amend RSA 78-A:26, III to read as follows:
III. Beginning on July 1, 1999, and for each fiscal year thereafter, the department shall pay over [all] revenue collected pursuant to RSA 78-A:6, II-a, which is attributable only to the rental of motor vehicles defined in RSA 78-A:3, XIV(a), to the state treasurer for deposit in the education trust fund established by RSA 198:39.
3 Effective Date. This act shall take effect July 1, 2007.
LBAO
07-0744
Revised 02/16/07
HB 493 FISCAL NOTE
AN ACT expanding the meals and rooms tax on rentals to include motorized recreational vehicles.
FISCAL IMPACT:
The Department of Revenue Administration has determined this bill will increase state general fund revenue by an indeterminable amount in fiscal year 2008 and each year thereafter. There will be no fiscal impact on county and local revenue or state, county and local expenditures.
METHODOLOGY:
The Department states this bill expands the definition of motor vehicle for rental tax purposes under the rooms and meals tax to include various motorized recreational vehicles. The Department does not have any information regarding the amount of revenues that result from the rental of motorized recreational vehicles and therefore can not reasonably estimate the amount of taxes that will be levied on such rentals. Rentals of motor vehicles are currently taxed at 8% and the taxes collected are normally deposited in the education trust fund. This bill, however, makes an exception and directs taxes collected on motorized recreational vehicles to be deposited in the general fund. The Department states the cost of administering the changes purposed in this bill can be absorbed within the existing budget.