SB351 (2010) Detail

Exempting income derived from the sale of cattle from the business profits tax.


SB 351-FN-A – AS INTRODUCED

2010 SESSION

10-2849

09/10

SENATE BILL 351-FN-A

AN ACT exempting income derived from the sale of cattle from the business profits tax.

SPONSORS: Sen. Reynolds, Dist 2; Sen. Gallus, Dist 1; Sen. Houde, Dist 5; Rep. Sad, Ches 2; Rep. S. Smith, Graf 7

COMMITTEE: Ways and Means

ANALYSIS

This bill exempts income derived from the sale of cattle from the business profits tax.

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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

10-2849

09/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Ten

AN ACT exempting income derived from the sale of cattle from the business profits tax.

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

1 New Paragraph; Business Profits Tax; Deductions. Amend RSA 77-A:4 by inserting after paragraph XVIII the following new paragraph:

XIX. A deduction of such amount of gross business profits as is attributable to income derived by a farmer from the sale of cattle held for 2 years or more.

2 Effective Date. This act shall take effect July 1, 2010.

LBAO

10-2849

12/30/09

SB 351-FN-A - FISCAL NOTE

AN ACT exempting income derived from the sale of cattle from the business profits tax.

FISCAL IMPACT:

    The Department of Revenue Administration states the fiscal impact of this bill on state general and education trust fund revenue is indeterminable in FY 2011 and each fiscal year thereafter. This bill will have no fiscal impact on state, county and local expenditures or county and local revenue.

METHODOLOGY:

    The Department of Revenue Administration states this bill exempts income derived from the sale of cattle held for 2 years or more from the business profits tax. The Department does not have data to determine the value of sales of cattle held 2 years or more and therefore did not estimate the fiscal impact of this bill. The Department further believes that allowing different tax treatment to taxpayers with cattle sales from all other business profits taxpayers may result in constitutional challenges.