Source: http://www.wvlegislature.gov/bill_status/bills_text.cfm?billdoc=HB2868%20ENG%20SUB.htm&yr=2009&sesstype=RS&i=2868
Timestamp: 2018-02-21 21:45:54
Document Index: 719236501

Matched Legal Cases: ['§11', '§44', '§44', '§44', '§44', '§44', '§44', '§44', '§44', '§44', '§44']

Engrossed Committee Substitute House Bill 2868 History
A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new section, designated §11-21-12i; and amending said code by adding thereto a new article, designated §44- 16-1, §44-16-2, §44-16-3, §44-16-4, §44-16-5, §44-16-6, §44-16-7, §44-16-8 and §44-16-9, all relating to the creation and maintenance of the West Virginia Children With Autism Trust Fund; creating a tax credit for parents and guardians contributing to a qualified trust fund against personal income tax obligations; providing for the limited carryover of unused tax credits; providing for the tax effects of earnings, proceeds and distributions for qualifying trust funds; making legislative findings; establishing legislative purposes; definitions; providing for the creation of trust fund; establishing eligibility criteria; providing mechanism for disbursements and maintenance; creating administrative account; providing for administration through the State Treasurer; providing for establishment of advisory board; membership of board; establishing reporting requirements; providing rule-making authority .
(a) Notwithstanding any other provision of this code, in addition to amounts authorized to be subtracted from federal adjusted gross income pursuant to this article, any contribution made by the parent or guardian of a child with autism into a trust established for the future support of the child, established in accordance with the provisions of article sixteen, chapter forty- four of this code, up to a maximum allowable credit of $2,000 per year, may be offset as a credit against any tax obligation owed to the state for personal income tax under this article during the year the contribution was made: Provided, That the amount of the credit taken in a taxable year shall in no event exceed the tax liability due for the taxable year. In the event that the personal tax obligation owed to the state for a given tax year is less than the tax credit allowed by this section, the amount of any unused credit may be carried forward and applied as an offset against any future personal income tax obligation owed by that person to the state in subsequent taxable years, for up to five years. Further, the accrued deposits and earnings on that account and the subsequent withdrawal of funds from that trust account, made in accordance with the provisions of article sixteen, chapter forty- four of this Code, shall not be treated as taxable income to either the trust or the beneficiary, for as long as the money is maintained and distributed in accordance with the provisions of that same article. The provisions of this section are effective for taxable years beginning after the thirty-first day of December, two thousand nine.
This article is known and cited as the "West Virginia Children with Autism Trust Act".
(1) Planning for and providing for the anticipated future needs of a child with autism with severe to moderate impairments in their daily living will help the children maintain as much independence as possible and adapt to changing circumstances and expectations as they become adults.
(2) Parents and guardians of a child with autism provide critical support for the child, often at a high financial cost, and are concerned about providing for the child's continued welfare in the future, when they are no longer able to provide primary care and support for the child's special needs.
(3) Encouraging the development and setting aside private resources to address those anticipated special needs would allow children with autism to remain as self-sufficient as possible, while continuing to provide them with access to support and resources as needed, after their parents are no longer able to help care for them.
(3) To provide a support mechanism through the establishment of a trust that is intended to protect and preserve assets which have been set aside for the future benefit of a child with autism; and,
(a) "Account" or "Trust Account" means a "Trust Account for a Child with Autism" established in accordance with the provisions of this Article.
(b) "Account owner" means the parent or guardian of a child with autism who establishes an "Trust Account for a Child with Autism" with the Treasurer's office and makes payments or contributions into that account in accordance with the provisions of this article.
(d) "Child with Autism" means a child, under the age of eighteen, who has been clinically diagnosed as having autism to a degree to which it results in a moderate or severe impairment in two or more areas of daily living, as the terms "moderate impairment", "severe impairment" and "daily living" are defined under Title II or Title XVI of the Social Security Disability Act, or a child who has been clinically diagnosed with autism and has been determined to be disabled under either Title II or Title XVI the Social Security Disability Act for any reason.
(f) "Contribution" means any contribution to a Trust Account established by a parent or guardian of a child with autism for the future maintenance and support of the autistic child.
(g) "Distribution" means any disbursement from a Trust Account, made in accordance with the provisions of this article.
(j) "Trust" means the instrument of trust establishing the terms and conditions of the Trust Account created in accordance with the terms of this article.
(k) "Trustee" means the bank, the court-appointed guardian of the designated beneficiary, or the Treasurer, acting as the managing trustee of the Trust Account.
(a) Any parent or guardian of a child with autism may establish a Trust Account for a Child with Autism, to be managed or maintained for the future benefit of the child, upon the death of the parent or guardian establishing the trust account, or upon the child reaching the age of eighteen, whichever comes first. The account shall be maintained with the Treasurer, and managed by either the Treasurer, an approved bank or a court appointed guardian.
(1) Contributions may be made into the Trust Account by a parent(s) or guardian establishing the account by cash contribution.
(2) Disbursements from the established trust account may only be made from the account for the purpose of paying qualified disability expenses of an individual who is a child with autism who is the designated beneficiary of the trust, and approved pursuant to legislative rules promulgated under this article.
§44-16-5. Establishment and Management of the Trust Account through the Treasurer; creation and composition of the trustee advisory board; duties and responsibilities; reimbursement of expenses.
(a) The "The West Virginia Children with Autism Trust Fund" is established within the accounts held by the State Treasurer for administration. As used in this section, the phrase "Trust Fund" shall mean the West Virginia Children with Autism Trust Fund.
(g) The "Trust Fund" shall receive all payments from account owners on behalf of beneficiaries of the Trust Accounts or from any other source, public or private. Earnings derived from the investment of moneys in the Trust Fund shall remain in the Trust Fund held in trust in the same manner as payments, except as refunded, applied for purposes of the beneficiaries, and applied for purposes of maintaining and administering the trust.
(h) The corpus, assets and earnings of the West Virginia Trust Fund do not constitute public funds of the state and are available solely for carrying out the purposes of this article. The state has no obligation to any designated beneficiary or any other person as a result of this article. All amounts payable from the Trust Fund are limited to amounts available in the Trust Fund.
(i) The Trust Fund shall continue in existence until terminated by the Legislature as it determines or by the board upon determination that continued operation is infeasible. Upon termination of the trust and after payment of all fees, charges, expenses and penalties, the assets of the Trust fund are paid and distributed to the beneficiaries of the account, to the extent possible, on a pro rata basis as their interests may appear, and any assets unused in said account upon the death of a beneficiary shall revert to the beneficiary's estate.
(a) There is hereby created a special revenue account within the state treasurer's office titled the "West Virginia Children with Autism trust fund program administrative account" for the purposes of receiving and disbursing the sums necessary to reimburse the treasurer and or members of the trustee advisory board for the reasonable and necessary expenses which they respectively incur in implementing, operating and maintaining the trust funds and program created by this article.