129th MAINE LEGISLATURE
		LD 963		LR 2174(02)
	An Act To Exempt Overtime Pay from Individual Income Tax
	Fiscal Note for Bill as Amended by Committee Amendment " "
	Committee: Taxation
	Fiscal Note Required: Yes
Fiscal Note
			FY 2019-20	FY 2020-21	Projections  FY 2021-22	Projections  FY 2022-23
Net Cost (Savings)
	General Fund		$35,226,743	$36,660,661	$37,895,661	$39,035,661
Appropriations/Allocations
	General Fund		$76,743	$85,661	$85,661	$85,661
Revenue
	General Fund		($35,150,000)	($36,575,000)	($37,810,000)	($38,950,000)
	Other Special Revenue Funds		($1,850,000)	($1,925,000)	($1,990,000)	($2,050,000)
Fiscal Detail and Notes
	The bill excludes overtime compensation from income tax if the employer is required by law to pay the overtime and will result in a reduction in General Fund revenue of $35,150,000 in fiscal year 2019-20 and $36,575,000 in fiscal year 2020-21.  It will also result in a reduction in Local Government Fund revenue of $1,850,000 in fiscal year 2019-20 and $1,925,000 in fiscal year 2020-21.  This analysis assumes the exclusion includes all wage compensation from overtime hours.  The bill includes a General Fund appropriation of $76,743 in fiscal year 2019-20 and $85,661 in fiscal year 2020-21 to the Department of Administrative and Financial Services for one Tax Examiner position and related costs to process income tax returns and perform desk audits.