Taxpayer Receipt Act
| Model Bill Info | |
|---|---|
| Bill Title | Taxpayer Receipt Act |
| Date Introduced | July 27, 2023 |
| Date Finalized | August 28, 2023 |
| Type | Model Policy |
| Status | Final |
| Task Forces | Tax and Fiscal Policy |
| Keywords | Tax reform |
Taxpayer Receipt Act
SECTION 1. DEFINITIONS
“Department” means the Department of Management and Budget, Department of Revenue, or the Office of State Policy and Budget (depending on the state).
“Major state taxes” means income, sales, alcohol, tobacco, and motor vehicle fuels tax.
SECTION 2. TAXPAYER RECEIPT.
(a) The department will develop and publish, include, or link to an interactive taxpayer receipt web-based application per this section. The receipt must describe the share of state general fund expenditures represented by major expenditure categories in the most recent fiscal year for which data is available. The receipt must show the approximate allocation of motor vehicle fuel taxes among eligible transportation purposes.
(b) The web-based application must allow a user to estimate the amount of major state taxes paid by the user. The web-based application must show how taxes an individual taxpayer pays are allocated to each major expenditure category based on the category’s percentage share of total state general fund spending.
(c) The web-based application must estimate the amount of income and direct sales taxes paid based on the taxpayer’s income and age. The web-based application must give the user the option to estimate taxes paid for tobacco, alcohol, or purchased motor vehicle fuel in the previous year and provide a corresponding estimate of the tobacco, alcohol, and motor vehicle fuel taxes paid by the user.
(d) The department is prohibited from providing a taxpayer with a copy of the taxpayer’s receipt by mail.
SECTION 3. VENDOR REQUIREMENTS
(a) The department must issue a request for proposals for the scope of services mentioned in this section within 90 days of the enrollment date of this Act, and the web-based application shall be live on the department’s website by [DATE].
(b) To satisfy the requirements of this Act, a vendor submitting a proposal to the department to develop and publish a taxpayer receipt web-based application must display the ability:
(i) To develop and implement a user-friendly and approachable web-based application mimicking a standard receipt, evidenced by successfully implementing a similar web-based application in at least ten cities, counties, or states in the United States.
(ii) To create an estimate based on an economically sound methodology for an individual taxpayer’s tax liability for major state taxes.
(iii) To display contextual information to describe state expenditures, including text, photos, graphics, videos, and live data visualizations.
(iv) To have a simple to-edit client management area to support state employees to edit and make changes to the application without incurring custom development fees.
(v) To provide full technical support, including customer service staff during working hours.
(vi) To be accessible and comply with all state and federal laws, including website accessibility requirements and the Americans with Disabilities Act.
SECTION 3. APPROPRIATION; TAXPAYER RECEIPT
[DOLLAR AMOUNT] in the fiscal year [YEAR] is appropriated from the general fund to the department to develop and publish the taxpayer receipt. The base funding for this program is [DOLLAR AMOUNT] in the fiscal year [YEAR] and thereafter.
EFFECTIVE DATE. This section is effective for taxable years beginning after [DATE].
