CHAPTER 60
HB 1581 – FINAL VERSION
03Mar2010… 0535h
2010 SESSION
10/09
HOUSE BILL 1581
AN ACT relative to the taxation of railroads.
SPONSORS: Rep. Patten, Carr 4; Rep. Stohl, Coos 1; Rep. Theberge, Coos 4
This bill makes various changes to the definitions and procedures relating to the taxation of railroads.
This bill is a request of the department of revenue administration.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03Mar2010… 0535h
10-2679
10/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Ten
AN ACT relative to the taxation of railroads.
Be it Enacted by the Senate and House of Representatives in General Court convened:
60:1 Definition; Company. Amend RSA 82:1, I to read as follows:
I. The word “company” as used in [RSA 82:2] this chapter shall apply to [all persons, co-partnerships or associations] any enterprise, whether corporation, partnership, limited liability company, proprietorship, association, business trust, real estate trust, or other form of organization.
60:2 Rate; Market Value. Amend RSA 82:2 to read as follows:
82:2 Rate. Every railroad, railway, express, and every parlor, sleeping or dining car [corporation or] company, or other [corporation or] company not a railroad company owning any cars operated for profit on any railroad in this state shall pay to the state an annual tax, as of April 1 of each year, upon the [actual] market value of its property and estate, at a rate [as nearly] equal as may be to the average rate of taxation at that time upon other property throughout the state. Market value means the property’s full and true value as defined in RSA 75:1.
60:3 Market Value. Amend RSA 82:6 to read as follows:
82:6 Condition of Property. In determining the [actual] market value of the property and estate in this state of any such [corporation or] company, the department of revenue administration shall make careful inquiry into the condition of all of the property and estate, whether within or without the state, in order that the [actual] market value of all that portion of the property and estate of such [corporation or] company within this state, and subject to taxation hereunder, may be accurately fixed and determined.
60:4 Evidence of Value. RSA 82:7 is repealed and reenacted to read as follows:
82:7 Evidence of Value.
I. The department shall evaluate all information utilizing generally accepted appraisal methods and techniques to determine the market value of the property, real and personal, in this state, of such railroad company. When only a portion of the property and estate of any such company is located within the state, the department of revenue administration, in determining the market value thereof, shall consider its proportionate value to all the property and estate of such company.
II. In the case of railroads operating on state-owned property, the trackage and real estate owned by the state shall not be used as evidence of value.
60:5 Information Filing; Penalties. RSA 82:10 is repealed and reenacted to read as follows:
82:10 Information Filing and Penalties.
I.(a) On or before May 1 of each year the company shall file a form, designated by the commissioner, that details the company’s actual financial operating performance, including company income and all expenses, original cost, and depreciated value of all the company’s assets, since the prior April 1 of the preceding year. This statement shall include such additional information as the commissioner shall require and shall be signed by an authorized representative, subject to the pains and penalties of perjury.
(b) If by May 1 the company is unable to file the form as required under subparagraph (a), the company shall request an extension from the department. Such extension shall be valid only upon written confirmation from the department, and shall not exceed 30 days per request. No more than 2 extensions shall be granted in a given tax year.
II. Taxes and estimated taxes not paid when due shall be subject to appropriate penalties and interest under RSA 21-J:32 and RSA 21-J:33.
III. Any company that fails to file a completed form as required under paragraph I on or before May 1, or by the date granted by an extension, if applicable, shall pay a penalty of one percent of the property tax for which the person is liable. In no case, however, shall the penalty be less than $250 or more than $2,500. This penalty shall be treated as incident to the tax and shall be in addition to any other penalty applicable pursuant to paragraph II.
IV. No later than 30 days subsequent to a sale or transfer of a company’s property or assets, the company acquiring such property shall notify the department in writing. Such notice shall include the name and address of the company, the date of the transfer, and all the terms of transaction.
60:6 Reference Corrected; Notice of Tax. Amend RSA 82:20, I to read as follows:
I. Based on the determination of value specified in [RSA 82:4-a] this chapter and the rate specified in RSA 82:2, the commissioner shall assess the tax by issuing a notice to the taxpayer within 15 days of the commissioner's determination. After credit for estimated taxes paid, such net taxes shall be paid to the department within 15 days after the date of such notice.
60:7 Repeal. The following are repealed:
I. RSA 82:4-a, relative to determination of actual value.
II. RSA 82:5, relative to finding actual value.
III. RSA 82:8, relative to proportionate value.
IV. RSA 82:9, relative to facts material in determining.
V. RSA 82:15, relative to doomage.
60:8 Effective Date. This act shall take effect July 1, 2010.
Approved: May 18, 2010
Effective Date: July 1, 2010