SB522: decreasing the rate of interest charged on overdue land use change taxes assessed on property removed from current use.

SB 522-FN-LOCAL - AS INTRODUCED

2004 SESSION

04-3250

09/01

SENATE BILL 522-FN-LOCAL

AN ACT decreasing the rate of interest charged on overdue land use change taxes assessed on property removed from current use.

SPONSORS: Sen. Larsen, Dist 15; Sen. D'Allesandro, Dist 20; Rep. Wallner, Merr 40; Rep. Osborne, Merr 40

COMMITTEE: Ways and Means

ANALYSIS

This bill decreases the rate of interest charged on overdue land use change taxes assessed on property removed from current use.

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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

04-3250

09/01

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Four

AN ACT decreasing the rate of interest charged on overdue land use change taxes assessed on property removed from current use.

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

1 Current Use Taxation; Land Use Change Tax; Rate of Interest on Unpaid Taxes. Amend RSA 79-A:7, II(d) to read as follows:

(d) Payment of the land use change tax, together with the recording fees due the register of deeds, shall be due not later than 30 days after mailing of the tax bills for such tax, and interest at the rate of [18] 12 percent per annum shall be due thereafter on any taxes not paid within the 30-day period.

2 Applicability. Section 1 of this act shall apply to land use change taxes assessed on changes of use occurring on or after July 1, 2004.

3 Effective Date. This act shall take effect July 1, 2004.

LBAO

04-3250

12/30/03

SB 522-FN-LOCAL - FISCAL NOTE

AN ACT decreasing the rate of interest charged on overdue land use change taxes assessed on property removed from current use.

FISCAL IMPACT:

The New Hampshire Municipal Association and Department of Revenue Administration state this bill will decrease local revenue by an indeterminable amount in FY 2005 and each year thereafter. There will be no fiscal impact on state and county revenue or state, county, and local expenditures.

METHODOLOGY:

The New Hampshire Municipal Association and Department of Revenue Administration state this bill would lower the interest rate on unpaid land use change taxes from 18 percent to 12 percent. The exact fiscal impact cannot be determined at this time since it is dependent on the number of properties taken out of current use and the number of property owners who fail to pay their land use change taxes in a timely manner.