CHAPTER 14

HB 1302-FN – FINAL VERSION

8Feb2012… 0449h

2012 SESSION

12-2566

10/03

HOUSE BILL 1302-FN

AN ACT relative to underpayment of estimated taxes and equalization of valuations administered by the department of revenue administration.

SPONSORS: Rep. Stepanek, Hills 6; Rep. Bettencourt, Rock 4

COMMITTEE: Ways and Means

ANALYSIS

This bill establishes that a penalty for underpayment of estimated taxes shall be added to the tax for the taxable period and defines “taxable period.” The bill also provides that property subject to the community revitalization tax relief credit shall be included in the equalization of valuations done by the commissioner of revenue administration.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

8Feb2012… 0449h

12-2566

10/03

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twelve

AN ACT relative to underpayment of estimated taxes and equalization of valuations administered by the department of revenue administration.

Be it Enacted by the Senate and House of Representatives in General Court convened:

14:1 Department of Revenue Administration; Penalty for Underpayment of Estimated Taxes; Definition Added. Amend RSA 21-J:32, I-II to read as follows:

I. Except as provided in paragraph IV, in the case of any underpayment of estimated tax by a taxpayer, there shall be added to the tax for the taxable [year] period an amount determined at the underpayment rate as determined from time to time pursuant to RSA 21-J:28, II, on the amount of the underpayment for the period of the underpayment.

II. For the purposes of paragraph I, the amount of the underpayment shall be the excess of:

(a) The amount of the installment which would be required to be paid if the estimated tax were equal to 90 percent of the tax for the taxable [year] period; over

(b) The amount, if any, of the installment paid on or before the last date prescribed for payment.

II-a. For purposes of this section, “taxable period” means the calendar year or fiscal year which the taxpayer uses for federal income tax purposes, or that part of a year for which a return is made.

14:2 Applicability. Section 1 of this act shall apply for taxable periods ending on or after December 31, 2012.

14:3 Duties of the Commission of Revenue Administration; Equalization. Amend RSA 21-J:3, XIII to read as follows:

XIII. Equalize annually by May 1 the valuation of the property as assessed in the several towns, cities, and unincorporated places in the state including the value of property exempt pursuant to RSA 72:37, 72:37-b, 72:39-a, 72:62, 72:66, and 72:70, property which is subject to tax relief under RSA 79-E:4, and property which is the subject of a payment in lieu of taxes under RSA 72:74 by adding to or deducting from the aggregate valuation of the property in towns, cities, and unincorporated places such sums as will bring such valuations to the true and market value of the property, and by making such adjustments in the value of other property from which the towns, cities, and unincorporated places receive taxes or payments in lieu of taxes as may be equitable and just, so that any public taxes that may be apportioned among them shall be equal and just. In carrying out the duty to equalize the valuation of property, the commissioner shall follow the procedures set forth in RSA 21-J:9-a.

14:4 Effective Date.

I. Section 1 of this act shall take effect December 31, 2012.

II. The remainder of this act shall take effect July 1, 2012.

Approved: April 23, 2012

Effective Date: I. Section 1 shall take effect December 31, 2012.

II. Remainder shall take effect July 1, 2012.