A bill extending the expiration date to report data for timber purchases to the Department of Revenue (DOR) was approved by the state House Wednesday.
House Bill 1148, sponsored by 19th District Rep. Jim Walsh, would extend the reporting date for timber purchases from July 1, 2018 to July 1, 2021. The change helps account for potential changes in tax policy or market conditions.
“Good policy is important. All public policy should foster cooperation between private sector and public sector entities,” said Walsh. “This bill brings private sector timber land owners together with state agencies. And, the private land owners share proprietary information about their land and assets. This helps ensure stumpage values are calculated, and taxes gathered, that reflect real market place conditions. This program has been in place for years, we typically extend it in three-year increments. This is good policy and a good program. I’m glad to help usher this extension through the process.”
Changes often occur in tax policy and market conditions. Due to costs to landowners and the potential risk for misreporting information, a three-year extension is better than a permanent change. The extension would help ensure stumpage tax rates are based on actual market rate and not on other sources of information.
The bill was approved by a vote of 97-0 and now heads to the Senate for further consideration.
The Legislature is scheduled to adjourn on April 23.
The bill was detailed during a House Agriculture & Natural Resources Committee meeting on January 25th, available below.