Colorado Legislative Council Staff

NO FISCAL IMPACT


Drafting Number:

Prime Sponsor(s):

LLS 98-001

Rep. C. Berry

Date:

Bill Status:

Fiscal Analyst:

January 3, 1998

House Finance

Harry Zeid (866-4753)

 

TITLE:            CONCERNING THE REESTABLISHMENT OF THE REQUIREMENT THAT COLORADO STATE INDIVIDUAL INCOME TAX RETURN FORMS CONTAIN A LINE WHEREBY INDIVIDUAL TAXPAYERS MAY MAKE VOLUNTARY CONTRIBUTIONS TO THE UNITED STATES OLYMPIC COMMITTEE.



Summary of Assessment


            This bill would reestablish the state individual income tax checkoff program for voluntary contribution to the United States Olympic Committee through January 1, 2002. The program, which was scheduled for repeal effective January 1, 1999, was eliminated from the 1997 Colorado individual income tax return this year because the program did not receive ten percent of the total amount contributed for all checkoff programs in 1997. Under current law, any income tax checkoff that does not maintain contributions equal to or greater than ten percent of the total amount contributed to all income tax checkoffs during the period between January 1, 1998, and September 30, 1998 would no longer be authorized as of January 1 of the then current calendar year, and would be eliminated from the Colorado individual income tax return for the subsequent year. The bill provides that this requirement would not apply to the United States Olympic Voluntary Contribution, however, the ten percent rule would apply to the Olympic checkoff for the total amount collected during 1999 and 2000.


            Currently, five income tax checkoffs appear on the 1997 individual income tax return that will be filed in 1998. These include: Nongame and Endangered Wildlife Fund, Domestic Abuse Program Fund, Homeless Prevention Fund, Colorado Child Care Improvement Fund, and the Colorado Special Olympics. The table below identifies the number of returns, total contribution, and average annual contribution made to the United States Olympic Voluntary Contribution checkoff and to all income tax checkoffs for the past three years.


Individual Income Tax Checkoffs


 

Olympic Checkoff

Total All Checkoffs


Year


Number

Total Donations

Average Donation


Number

Total Donations

Average Donation

1995

1996

1997

19,859

20,250

14,630

$85,097

98,272

78,135

$4.29

4.85

5.34

139,931

138,181

166,750

$862,777

938,207

1,120,552

$6.17

6.79

6.72



            Since the Olympic Voluntary Contribution checkoff was eliminated this year, the computer programming necessary to re-establish the checkoff on the income tax return still exists. The Department of Revenue would not require any additional resources to add the checkoff back onto the income tax system. Therefore, the bill is assessed as having no fiscal impact. The bill would become effective upon signature of the Governor.



Departments Contacted


            Revenue