HB 1281 Summary

• Establishes that county income tax revenue deposited in the state general fund is held in trust for the county, not subject to reversion to the state.

• Requires the Department of State Revenue to record and track the amount of county income tax received from county taxpayers (through withholding or direct payment) for each county and taxable year.

• Mandates the budget agency make a supplemental distribution to each county in January of each year equal to county income tax revenue received for a taxable year that was not included in the county's previous certified distribution.

• Applies these trust account and supplemental distribution provisions to county adjusted gross income tax, county option income tax, and county economic development income tax.

• Effective July 1, 2014.