State of Alaska
Fiscal Note
Bill Version: HB 182
2021 Legislative Session
Fiscal Note Number: 1
(H) Publish Date: 4/28/2021
Identifier: HB182-DOR-TAX-4-23-21 Department: Department of Revenue
Title: EXTEND FISHERY RESOURCE LAND. TAX Appropriation: Taxation and Treasury
CREDIT Allocation: Tax Division
Sponsor: EDGMON OMB Component Number: 2476
Requester: (H) Fisheries
Note: Amounts do not include inflation unless otherwise noted below. (Thousands of Dollars)
Included in
FY2022 Governor's
Appropriation FY2022 Out-Year Cost Estimates
Requested Request
OPERATING EXPENDITURES FY 2022 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027
Personal Services
Capital Outlay
Grants & Benefits
Total Operating 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Fund Source (Operating Only)
Total 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Change in Revenues
1261 Shared Tax (DGF) (1,160.0) (794.8) (810.7) (826.9) (843.4) (860.3)
Total (1,160.0) 0.0 (794.8) (810.7) (826.9) (843.4) (860.3)
Estimated SUPPLEMENTAL (FY2021) cost: 0.0 (separate supplemental appropriation required)
Estimated CAPITAL (FY2022) cost: 0.0 (separate capital appropriation required)
Does the bill create or modify a new fund or account? No
(Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
Does the bill direct, or will the bill result in, regulation changes adopted by your agency? No
If yes, by what date are the regulations to be adopted, amended or repealed? N/A
Why this fiscal note differs from previous version/comments:
Not applicable, initial version.
Prepared By: Nicole Reynolds, Deputy Director and Dan Stickel, Chief Economist Phone: (907)269-6736
Division: Tax Division Date: 04/23/2021
Approved By: Brian Fechter, Administrative Services Director Date: 04/23/21
Agency: Department of Revenue
Printed 4/28/2021 Page 1 of 2 Control Code: tadXS
HB 182 - Fiscal Note 1
Prior to December 31, 2020, Fisheries Resource Landing Tax (FRLT) taxpayers that harvested fisheries resources under a
community development quota (CDQ) and that made contributions during the tax year to Alaska nonprofit corporations
that are dedicated to fisheries industry-related education, research, and/or work were allowed to claim a credit of 100%
of the contribution amount, up to 45.45% of the taxpayers tax liability on fishery resources harvested under a CDQ.
However, the CDQ Credit sunset on December 31, 2020.
This bill extends the sunset date of the CDQ credit to December 31, 2030, and provides for an immediate effective date.
The bill is retroactive to December 30, 2020.
Revenue Impact
Proceeds from the FRLT are deposited into the General Fund and shared between the state and municipalities. Since t he
CDQ Credit can only be used against the municipal share of the FRLT tax proceeds, the state share of the proceeds
reported in the Unrestricted General Fund (UGF) would remain the same. However, the municipal share of the proceeds
reported in the Designated General Fund (DGF) would be reduced by the CDQ credit amount as reflected in this fiscal
This revenue estimate uses actual FY2020 CDQ credits as a baseline and assumes a 2% annual increase in credit value. For
FY2022, the estimate is higher because it includes 1.5 years of impact this assumes that impacts for the second half of
FY2021 would be realized in revenue impact in FY2022 (since the extension of the CDQ credit is retroactive).
Implementation Cost
This legislation would require only minor changes to update the Department's Tax Revenue Management System (TRMS)
and Revenue Online (ROL) which allows a taxpayer to file a return online. The Department will be able to make the
changes with existing resources, and does not anticipate any continuing costs or additional staff needs.
(Revised 1/13/2021 OMB/LFD) Page 2 of 2
HB182-DOR-TAX-4-23-21 Page 2 of 2 Control Code: tadXS