The proposed bill aims to establish the Truth in Taxation Act in West Virginia by adding a new article to the state code. It defines key terms such as "revenue neutral rate," which is the tax rate that would generate the same property tax revenue as the previous year, and "taxing subdivision," referring to any political subdivision that levies an ad valorem tax on property. The bill mandates that by June 15 each year, county clerks must calculate and provide the revenue neutral rate to taxing subdivisions for budget purposes.

Additionally, the bill outlines the procedures that governing bodies must follow if they wish to levy a tax rate exceeding the revenue neutral rate. This includes publishing a notice of intent, notifying taxpayers, holding a public hearing, and obtaining a majority vote to approve the increase. If a governing body fails to comply with these requirements, they must refund any over-collected property taxes. However, the provisions do not apply to school districts or taxing subdivisions that receive $5,000 or less in property tax revenue.

Statutes affected:
Introduced Version: 11-29-1, 11-29-2