Date: 07/06/2006

Final
BILL SUMMARY for HB06S-1020

HOUSE COMMITTEE ON BUSINESS AFFAIRS AND LABOR

Votes: View--> Action Taken:
Moved amendment L.002 (Attachment M). The motion
Moved to refer House Bill 06S-1020, as amended, to		Pass Without Objection
PASS

04:47 PM -- House Bill 06S-1020

Representative Berens and Representative Benefield, prime sponsors, presented House Bill 06S-1020. The bill would refer a measure to the voters that would eliminate the ability of businesses to claim expenses for wages paid to unauthorized alien employees as an expense for state income tax purposes. The definition of an unauthorized alien is one that violates federal law regarding the employment eligibility of aliens. In order to be covered under the measure, the employer must pay an individual at least $600 in a year.

The measure does not apply to the following:

• any business exempt from complying with federal employment verification procedures;
• employees hired prior to January 1, 2008;
• any workers not paid directly by the employer; or
• wages paid to an employee that presents a valid license or identification card issued by the Department of Revenue.


The measure allows the Executive Director of the Department of Revenue to prescribe forms and promulgate rules necessary to implement the provisions of the measure.
BILL:HB06S-1020
TIME: 04:51:46 PM
MOVED:Carroll M.
MOTION:Moved amendment L.002 (Attachment M). The motion passed without objection.
SECONDED:Coleman
VOTE
Balmer
Borodkin
Butcher
Carroll M.
Coleman
Knoedler
Liston
McCluskey
Paccione
Penry
Welker
Cerbo
Marshall
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection




04:53 PM

Representative Benefield and Representative Berens responded to questions from the committee regarding the wording of the wording to the voters. The proposition would begin, "shall taxes be increased".

04:55 PM -- Josh Harwood, Legislative Council Staff, was asked why the proposition must be worded "shall taxes be increased".

04:58 PM -- Jason Gelender, Office of Legislative Legal Services, testified in response to the wording. He stated that since employers could no longer deduct wages of unauthorized aliens, the state would gain those back in taxes.
BILL:HB06S-1020
TIME: 05:07:45 PM
MOVED:Penry
MOTION:Moved to refer House Bill 06S-1020, as amended, to the Committee on Appropriations. The motion passed 13-0.
SECONDED:Borodkin
VOTE
Balmer
Yes
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
Yes
Liston
Yes
McCluskey
Yes
Paccione
Yes
Penry
Yes
Welker
Yes
Cerbo
Yes
Marshall
Yes
Final YES: 13 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS