This bill proposes amendments to the Code of West Virginia, specifically targeting the corporate net income tax rates outlined in section 11-24-4. The primary change is the introduction of a new tax rate of three and one-quarter percent for taxable periods beginning on or after January 1, 2027, applicable to all domestic and foreign corporations engaging in business or deriving income in West Virginia, with certain exemptions. Additionally, the bill includes provisions that allow for the suspension of this tax reduction if the combined balance of specific reserve funds does not meet a threshold of ten percent of the General Revenue Fund budgeted for the fiscal year.

The bill also updates references to the Revenue Fund Shortfall Reserve Fund by replacing the previous section reference with the new citation 11B-2-20. Overall, the intent of the bill is to lower the corporate net income tax burden on businesses operating in West Virginia, thereby potentially encouraging economic growth and investment in the state.

Statutes affected:
Introduced Version: 11-24-4