| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the amount of the total revenue exemption for the |
|
|
franchise tax and the exclusion of certain taxable entities from |
|
|
the requirement to file a franchise tax report. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 171.002(d), Tax Code, is amended to read |
|
|
as follows: |
|
|
(d) A taxable entity is not required to pay any tax and is |
|
|
not considered to owe any tax for a period if: |
|
|
(1) the amount of tax computed for the taxable entity |
|
|
is less than $1,000; or |
|
|
(2) the amount of the taxable entity's total revenue |
|
|
from its entire business is less than or equal to $2.47 [$1] million |
|
|
or the amount determined under Section 171.006 per 12-month period |
|
|
on which margin is based. |
|
|
SECTION 2. Section 171.204(b), Tax Code, is amended to read |
|
|
as follows: |
|
|
(b) The comptroller may not require a taxable entity that |
|
|
does not owe any tax because of the application of Section |
|
|
171.002(d)(2) to file an [abbreviated] information report with the |
|
|
comptroller [stating the amount of the taxable entity's total |
|
|
revenue from its entire business. The comptroller may not require |
|
|
a taxable entity described by this subsection to file an |
|
|
information report that requires the taxable entity to report or |
|
|
compute its margin]. |
|
|
SECTION 3. Section 171.204(d), Tax Code, is repealed. |
|
|
SECTION 4. The changes in law made by this Act apply only to |
|
|
a report originally due on or after January 1, 2024. |
|
|
SECTION 5. This Act takes effect only if S.B. 2 or similar |
|
|
legislation of the 88th Legislature, 2nd Called Session, 2023, |
|
|
relating to providing property tax relief through the public school |
|
|
finance system, exemptions, limitations on appraisals and taxes, |
|
|
and property tax administration becomes law in a manner described |
|
|
by Section 2001.006(a)(2), Government Code. If legislation |
|
|
described by this section does not become law in a manner described |
|
|
by Section 2001.006(a)(2), Government Code, this Act has no effect. |
|
|
SECTION 6. Except as otherwise provided by this Act, this |
|
|
Act takes effect January 1, 2024. |