Legislature(2015 - 2016)
2016-01-19 House JournalFull Journal pdf
2016-01-19 House Journal Page 1443 HB 251 HOUSE BILL NO. 251 by the House Rules Committee by request of the Governor, entitled: "An Act requiring the electronic submission of a tax return or report with the Department of Revenue; relating to fisheries business tax and fishery resource landing tax; relating to refunds to local governments; and providing for an effective date." was read the first time and referred to the House Special Committee on Fisheries and the Finance Committee. The following fiscal note(s) apply: 2016-01-19 House Journal Page 1444 1. Fiscal, Dept. of Revenue The Governor's transmittal letter dated January 15, 2016, follows: "Dear Speaker Chenault: Under the authority of Article III, Section 18 of the Alaska Constitution, I am transmitting a bill relating to a tax on fisheries business and fishery resource landing. The bill would increase the tax rates of the fisheries business tax (AS 43.75.015) and the fishery resource landing tax (AS 43.77.010). The tax rates covered by these statutes vary from one percent to five percent, depending on the type of fishery. The bill would increase those tax rates by one percent across the board, with the exception of some developing fisheries that are exempt from the increase. Currently, the revenue generated by these taxes is split evenly between the state and the municipalities where the fisheries are located. The bill would exempt this one percent increase from the revenue sharing arrangement, thereby insuring that the entire increase is applied to the general fund. This legislation is expected to generate additional revenue of approximately $18,000,000 annually. Currently the costs to the state to regulate commercial fisheries are greater than the amount of general fund revenue generated by these taxes. Therefore, this proposed increase is reasonable. The fishing industry could continue to operate in this state, but, under this bill, would bear a fairer share of industry costs to the state. To increase administrative efficiency for the Department of Revenue and state taxpayers, the bill would require the electronic submission of tax returns with an exemption available upon request. The bill is an integral component of the New Sustainable Alaska Plan to provide a balanced and sustainable budget for Alaska's long-term fiscal stability. 2016-01-19 House Journal Page 1445 I urge your prompt and favorable action on this measure. Sincerely, /s/ Bill Walker Governor"