Week 6 - Watchlist by utahtaxpayers

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

Implementsroyaltiesandseverancetaxfor certainmineralsandmetalsminedfromtheGSL.

Imposesacarbondioxideemissionstax;converts theEITCtoarefundabletaxcredit;eliminatesthe statesalestaxonfood

Amendsdefinitionstoincludecorrective eyeglassesandcontactlensesas"prosthetic device",exemptingthemfromsalesandusetax.

Prohibitsataxpayerfromcarryingforwarda renewableenergysystemtaxcreditandan alternativeenergydevelopmenttaxcreditinthe sametaxableyear.

ImplementsrecommendationsmadebyLAG regardingTaxIncremementFinancingtoenhance accountabilityandlimituseofTIF

Separateselectroniccigaretteproductsand nontheraputicnicotineproductsfromalternative nicotineproducts,resultingindifferenttaxand licensingrequirements.

Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

SB268 LithiumSeveranceTaxAmendments

SB278 CannabisBusinessTaxCreditAmendments

Clarifiesthatchloridecompoundsandsaltsthat containlithiumareconsideredmetalliferous minerals

Enactsanonrefundableincometaxcreditfor businessexpensesrelatedtoin-statetransporting orsellingofmedicalcannabis.

SB279 SalesTaxModifications

SB281 ModificationstoMilitaryIncomeTax

SB284 AviationFuelIncentiveAmendments Cullimore

AllowsacitytoproposeaZAP/RAPtaxfora20yearperiodandtoissueabondbackedbythetax forthatperiod.Additionaltaxtobeauthorizedby voters.

Givesataxcredittodeployedmilitarypersonnel

DirectsseverancetaxrevenuetotheIndustrial AssistanceAccount;enactsanaviationfuel incentive

Number Title Sponsor Description Comments Position HouseFloor SenateFloor NewThisWeek HB513 GreatSaltLakeAmendments Snider

FiscalNote-$6.5MM O HB514 FossilFuelsTaxModifications Briscoe

O HB525 EyewearSalesTaxAmendments Maloy

FiscalNote-$12.5MM O HB528 UtahEnergyActAmendments Wilcox

557 TaxIncrementFinancingRevisions Dunnigan

(S) 1SubSB263 ElectronicCigaretteandOtherNicotineProductTax Amendments Bramble

Fiscal

$6.8MM M

Note-

Blouin

FiscalNote

$6.5MM O

Vickers

Weiler

Millner

(M)

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

HJR14 JointRulesResolution-BudgetProcessAmendments VPeterson

HJR17 ProposaltoAmendUtahConstitution-StatewideInitiatives Kyle

RequiresEACtopresentbudgettolegislators withcomparisontosubcommitteeprioritizedlists, alsoprohibitsEACfromincludingabudgetitem unlessrecommendedbysubcommitteeorcertain conditionsaremet

Forwardsaconstitutionalamendmenttorequire atleasta60%thresholdforanystatewide initiativetoraisetaxes

Lowerstheindividualandcorporateincometax ratesfrom4.85%to4.80% FiscalNote-$96MM

Removesthestatetaximposedonamountspaid orchargedforfoodandfoodingredientscontingentonConstitutionalAmendmentto removetheearmarkonincometaxpassesin 2024 FiscalNote-$166MM

Removesthestatetaximposedonamountspaid orchargedforfoodandfoodingredients, excludescandy

EstablishestheUtahFitsAllScholarshipProgram andraisesteachersalaries

Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

HB240 IncomeTaxAmendments Abbott

HB296 MinimumBasicTaxRateReduction Brooks

1SubHB345 LocalDistrictPropertyTaxAmendments Peterson

HB372 LocalSchoolDistrictReferendumAmendments Cobb

Lowerstheindividualandcorporatestateincome taxfrom4.85%to4.65%

LowerstheStateBasicLevy,eliminatestheWPU valuerateaddedfromthefreezebill,andthe equitypupilrate

FiscalNote-$161MM

FiscalNote-$240MM ongoing($200MMsalary adjustment;$40MM scholarship). S

FiscalNote-$375MMin 2025 S

FiscalNote-$123MM S

Requiresnon-electeddistrictstoreportproposed taxincreasesorbondissuancestotheir respectivemunicipallegislativebody,and requiresthatelectedmunicipallegislativebodyto makearecommendationontheproposal S P

Allowslocalschooldistricts'proposedtax increasestobereferredtovotersforapprovalor rejectionbyreferendum

Bringsschooldistrict accountabilityinlinewith othertaxingentities S

Number Title Sponsor Description Comments Position HouseFloor SenateFloor

HighPriorityLegislation

Eliason

HB54 TaxRevisions

Rohner

1SubHB101 FoodSalesTaxAmendments

Lesser

S HB172 FoodSalesTaxAmendments

Funding

Opportunities Pierucci

SubHB215

ForTeacherSalariesandOptionalEducation

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782 Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

Contingentonthepassageofaconstitutional amendment,establishesa60%thresholdfor passageofastatewideinitiativethatwouldraise taxes

Imposesacarbondioxideemissionstax;converts theEITCtoarefundabletaxcredit;eliminatesthe statesalestaxonfood

Forwardsaconstitutionalamendmenttoremove theearmarkonincometax

LowerstheStateBasicLevy,eliminatestheWPU valuerateaddedfromthefreezebill,andthe equitypupilrate

HB88

SecurityTaxAmendments

Providesthatacorporatetaxpayermaycarry forwardaUtahnetlossindefinitely,subjecttoa capontheamountofthelosscarryforwardat 80%oftaxableincome.

Allowsacountylegislativebodytore-authorize theimpositionofaZAP/RAPsalestaxinsteadof voters

AllowsacitytoproposeaZAP/RAPtaxfora20yearperiodandtoissueabondbackedbythetax forthatperiod.Additionaltaxtobeauthorizedby voters.

Requiresacountyassessortoprovidecertain assessmentdatatothecommissionanddatesit isdueby.Addsclarificationtopassthrough taxation

FiscalNote-$28MM; taxpayersarebetterserved byalarger,generaltaxcut thanindividualcredits.

Note-$15MM

Number Title Sponsor Description Comments Position HouseFloor SenateFloor HB422 InitiativeAmendments Kyle

Preventsthebankrollingof tax-relatedissuesby wealthyindividuals S P HB514 FossilFuelsTaxModifications Briscoe

O SJR10 ProposaltoAmendUtahConstitution

Tax McCay

-Income

S SB141 ReductionofMinimumBasicTaxRate Harper

FiscalNote-$151MM S SB164 FoodTaxAmmendments Escamilla Removes

itemsforeveryone FiscalNote-$41MMin 2025 O SB203 CorporateTaxAmendments Bramble

statesalestaxonfoodonallSNAPand WICeligible

S P

SalesandUseTaxAmendments Winterton

SB255

TaxModifications

SB279 Sales

Weiler

O House

Legislation

TaxAssessmentAmendments

ofRepresentativesSponsored

1SubHB56

Eliason

S P 3SubHB58 TaxModifications Spendlove Makes

M P P

technicalcorrectionsrelatedtotax

HB83 TaxCreditforEducatorExpenses Birkeland

Social

Enactsanonrefundableindividualincometax creditthataneligibleeducatormayclaimfor certainout-of-pocketclassroomexpenses Brooks

Fiscal

Expandseligibilityforthesocialsecuritybenefits taxcreditbyincreasingthethresholdsforthe income-basedphaseout

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

Forpoliceandfirefighters,reducesthewaiting periodforpost-retirementreemploymentfrom1 yearto90daysmodifiestheyearsofserviceand increasesthemultiplierforpurposesofcalculating theretirementallowanceprovidedtoamemberof theNewPublicSafetyandFirefighterTierII hybridretirementsystem.Sunsetsin5years.

Forpoliceandteachers,reducesthewaiting periodforpost-retirementreemploymentfrom1 yearto60days

Allowsaretireewhowasapublicsafetyservice employeeorateachertobereemployedwitha participatingemployerwithintheone-year separationperiodif theretireedoesnotearn morethan$35,000peryearinpostretirement reemployment

FiscalNote-$47.8MMin unfundedliability.Includesa sunsetinfiveyears. M

Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

275

PropertyTax

Prescribes,modifiesandauthorizeswhatfeesan LEAmaychargeasecondarystudent

Establishesalimitontheamountofsocial securitybenefitthatiseligibleforthetaxcredit andremovestheincomelimitationsoneligibility forthetaxcredit

arebetterserved byalarger,generaltaxcut thanindividualcredits.

FiscalNote-$0;however, $23MMisusuallycollected inschoolfees.

Note-$106MM

Increases

Number Title Sponsor Description Comments Position HouseFloor SenateFloor HB104 ModificationstoPublicSafetyRetirement Gwynn

HB125 Post-retirementReemploymentAmendments Birkeland

FiscalNote-

unfundedliability O HB126 Post-retirementReemploymentModifications Birkeland

$47MMin

FiscalNote-$73MMin unfundedliability O 3SubHB130 AdoptionTaxCredit Shipp

Taxpayers

O P HB144 HighCostInfrastructureDevelopmentTaxCreditAmendments Albrecht Addsseverancetaxasaclaimablesourcefora taxcredit S 1SubHB170 ChildTaxCreditRevisions Pulsipher Enactsa$1000nonrefundabletaxcreditperchild O 2SubHB175 SchoolFeesAmendments Strong

S HB213 SocialSecurityTaxAmendments Thurston

Fiscal

S HB220 EmmissionsReductionsAmendments Stoddard

M HB231 LowIncomeHousing

Exemption Eliason

M P 1SubHB260 PropertyTaxIncomeRequirement Briscoe

S HB

Enactsanonrefundableandarefundable individualincometaxcreditforexpensesrelated totheadoptionofachild,forwhicheligibility dependsontheindividual'sincome TaxDependentAmendments Lisonbee

EnactsthePollutionEmissionReductionAct, createsavehicleemissionsfeeprogram,imposes requirementsonstructures,increasesfueltaxon non-tier3gasoline

Provides

apropertytaxexemptionforprivate propertyusedfor"permanentsupportivehousing"

theincomelimitforaclaimanttoqualify forahomeowner'sorrenter'scredit. FiscalNote-$5.3MMstate, $7.1MMlocalshift

AddstothetaxpayertaxcreditanadditionalUtah personalexemptionintheyearofaqualifying dependent'sbirth.

FiscalNote-$3.7MM; taxpayersarebetterserved byalarger,generaltaxcut thanindividualcredits.

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

Exemptsamountspaidorchargedfor constructionmaterialsusedtoopenorexpanda childcareprogramfromsalesandusetax.

Requirescertainstateandlocalentitiesto disclosecertaininformationabouttheirbudget

Providesanexemptiononpropertytaxfor disabledveterans

Increasesvehicleregistrationfeesby$5,reduces thestategastax,enactsataxonEVcharging stations

Createsanewpartiallystatefundednon-profitto advoacteforoptimalwaterusewith$2MMone timeappropriationand$1MMongoing appropriationtofundtheirbudget

providemorereporting regardingtheir

FiscalNote-$520,000; taxpayersarebetterserved byalarger,generaltaxcut thanindividualcredits. O

Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

Expeditestherepealofcertainsubsections relatingtotheTRTfromJuly2026toJuly2023.

revenuecollectedfromacountytaxon rentalvehiclestobeusedtomitigatetheimpacts oftourism;makestechnicalchanges.

Capspropertytaxincreasesforseniorsage70+ withanincomeoflessthan$50,000at5%

Taxpayersarebetterserved byalarger,generaltaxcut thanindividualcredits. O

Taxpayersarebetterserved bypropertytaxdeferrals outlinedin2SubSB81 O

Taxpayers are better served by a larger, general tax cut than individual credits.

Number Title Sponsor Description Comments Position HouseFloor SenateFloor HB282 ChildCareCenterSalesTaxAmendments Watkins

HB294 GovernmentalEntityBudgetTransparency Abbott

S P HB298 VeteranPropertyTaxAmendments Pierucci

3SubHB301 TransportationTaxAmendments Schultz

Fiscal

in 2025 S P 3SubHB307 UtahWaterWays Musselman

Note-$21.5MM

O P HB322 BudgetReportingRequirements Ballard Requires

expenditures S P 3SubHB392 RuralCountyHealthCareFacilitiesSalesTaxAmendments Elison Allows

services O P 2SubHB407 IncentivesAmendments Christofferson Conductsastudytoreviewuseofcertaintax incentives O P HB416 TransientRoomTaxAmendments Lyman

M HB417 MotorVehicleTaxAmendments Lyman Allows

M P HB454 PropertyTaxRequirements Birkeland

stateagenciesto

nonlapsingbudget

WashingtonCountytoimposean additional1%salestaxtofundemergency medical

HB480 ChildTaxCreditAmendments Briscoe Creates

arefundablechildtaxcredit.

HB500 CountySalesTaxAmendments Christofferson Amendsthe

forcertainlocaloption salestaxes M HB513 GreatSaltLakeAmendments Snider Implements

theGSL. FiscalNote

$6.5MM O

distribution

royaltiesandseverancetaxfor certainmineralsandmetalsminedfrom

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

HB525 EyewearSalesTaxAmendments

Amendsdefinitionstoincludecorrective eyeglassesandcontactlensesas"prosthetic device",exemptingthemfromsalesandusetax. FiscalNote

HB528 UtahEnergyActAmendments

HB557 TaxIncrementFinancingRevisions

SenateSponsoredLegislation

1SubSJR1 ProposaltoAmendUtahConstitution-RevenueandTaxation McCay

SJR3 ProposaltoAmendUtahConstitution-PropertyTaxExemptions

SB11 RetirementFiscalNoteRequirements

SB14 LeasedTangiblePersonalPropertyTax

Prohibitsataxpayerfromcarryingforwarda renewableenergysystemtaxcreditandan alternativeenergydevelopmenttaxcreditinthe sametaxableyear.

ImplementsrecommendationsmadebyLAG regardingTaxIncremementFinancingtoenhance accountabilityandlimituseofTIF

Subjecttothepassingofaconstitutional amendment,prohibitstheStatefromimposinga taxonthetransferofrealproperty.

Authorizeapropertytaxexemptionforprivately ownedrealpropertythatisusedtosupportpublic education,children,orindividualswithadisability.

LFAtoincludespecifiedadditionalinformationin thefiscalestimateforeachproposedbillthat changesretirementbenefitsforpublicemployees.

Providesthatthesaleofleasedtangiblepersonal propertyfromthelessortothelesseeissubjectto salesandusetax.

1SubSB34 WaterInfrastructureFundingStudy

2SubSB81 PropertyTaxDeferralRevisions

2SubSB82 SalesTaxAmendments

1SubSB121 Car-SharingAmendments

SB157 PersonalPropertyTaxAmendments

SB179 EducatorSalaryAdjustmentsAmendments

DirectstheDepartmentofNaturalResourcesto studytheuseofpropertytaxrevenuetofund waterinfrastructure,treatment,andreportto committee.

Addresseswhendeferredpropertytaxescome due;makestechnicalchanges.Changes implementationdate.

Clarifiesthatthecommissionrequiresasellerto renewanexemptioncertificatewhenmorethan 12monthselapsebetweentransactionsbetween asellerorcertifiedproviderandapublisher.

Enactsprovisionsrelatedtocar-sharingbusiness platforms.

Repealstheelectionforassessmentandtaxation ofnoncapitalizedpersonalproperty

Addstheeducatorsalaryadjustmentstothelistof programsreceivingacostadjustmentforinflation. FiscalNote:$6.6MM O

Positionsnotfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

Number Title Sponsor Description Comments Position HouseFloor SenateFloor

Maloy

$12.5MM O

Wilcox

Dunnigan

(S)

Fillmore

S P P

Wilson

M P P

McCay

S P

Fillmore

S P

Harper

M P P

McKell

Harper

M P

Riebe

Formoreinformation,contact: RustyCannon,President-801.721.7136or MalahArmstrong,VicePresident-801.735.6782

UtahTaxpayersAssociation2023LegislativeWatchlist-February24,2023

ataxcreditforthepurchaseand installationofwaterefficientlandscapingand fixtures

electroniccigaretteproductsand nontheraputicnicotineproductsfromalternative nicotineproducts,resultingindifferenttaxand licensingrequirements.

thatchloridecompoundsandsaltsthat containlithiumareconsideredmetalliferous

notfinalizedindicated inparanthesis.S=Support.M= Monitor.O=Oppose.

Positions

Number Title Sponsor Description Comments Position HouseFloor SenateFloor SB202 FuelTaxAmendments Riebe Reducesthegastaxby4.5cents;modifiesthe increasesofgastax. O SB235 TaxAmendments Bramble Removessalestaxonsandandgravelwhen purchasedasabusinessinput. S SB252 ConservationTaxIncentiveAmendments Riebe

Taxpayers

individual credits. O 1SubSB263 ElectronicCigaretteandOtherNicotineProductTax Amendments Bramble Separates

FiscalNote-$6.8MM M SB268 LithiumSeveranceTaxAmendments Blouin Clarifies

minerals FiscalNote-$6.5MM O SB278 CannabisBusinessTaxCreditAmendments Vickers Enactsanonrefundableincometaxcreditfor businessexpensesrelatedtoin-statetransporting orsellingofmedicalcannabis. M SB281 ModificationstoMilitaryIncomeTax Millner Givesataxcredittodeployedmilitarypersonnel O SB284 AviationFuelIncentiveAmendments Cullimore DirectsseverancetaxrevenuetotheIndustrial AssistanceAccount;enactsanaviationfuel incentive (M)

Provides

are better served by a larger, general tax cut than