The proposed bill seeks to amend the West Virginia Code to enhance support for small businesses by raising the income threshold that necessitates obtaining a business license and exempting certain independent contractors and sole proprietors from licensing requirements. Key changes include the deletion of the previous maximum municipal business license tax of "twenty" dollars, which is now specified as "20" dollars, and the introduction of a provision that exempts independent contractors or sole proprietors without a permanent physical location and with annual revenues under $10,000 from municipal licensing. Additionally, municipalities are prohibited from imposing business and occupation taxes on businesses with revenues below this threshold. The bill also establishes the Small Business Protection Act, which aims to alleviate regulatory burdens on small businesses and ensure that state agencies consider their unique challenges.

Furthermore, the bill amends regulations regarding business registration certificates, requiring that a copy be carried in each vehicle and displayed publicly during business activities. It raises the income exemption threshold for individuals from $4,000 to $10,000, allowing more individuals to avoid the business registration certificate and associated tax. The bill also outlines exemptions for various organizations, including those qualifying for federal tax exemption and certain agricultural producers. Lastly, it introduces a new penalty structure for failing to obtain a business registration certificate, reducing the penalty timeframe to 15 days after receiving notice from the Tax Commissioner.

Statutes affected:
Introduced Version: 11-12-3, 8-13-4, 8-13-5, 8-40-1, 8-40-2
Committee Substitute: 8-13-4, 8-13-5, 11-12-3, 8-40-1, 8-40-2
Engrossed Committee Substitute: 8-13-4, 8-13-5, 11-12-3, 8-40-1, 8-40-2