By Oliveira H.B. No. 1894
Substitute the following for H.B. No. 1894:
By Oliveira C.S.H.B. No. 1894
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the application and administration of the franchise tax
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 171.001(b), Tax Code, is amended to read
1-5 as follows:
1-6 (b) In this chapter:
1-7 (1) "Banking corporation" means each state, national,
1-8 domestic, or foreign bank, and each bank organized under Section
1-9 25(a), Federal Reserve Act (12 U.S.C. Secs. 611-631) (edge
1-10 corporations), but does not include a bank holding company as that
1-11 term is defined by Section 2, Bank Holding Company Act of 1956 (12
1-12 U.S.C. Sec. 1841).
1-13 (2) "Beginning Date" means:
1-14 (A) for a corporation chartered in Texas, the
1-15 date the charter is effective; and
1-16 (B) for a foreign corporation, the earlier of:
1-17 (i) the date the certificate of authority
1-18 is effective; or
1-19 (ii) the date the corporation begins doing
1-20 business in Texas.
1-21 (3) <2> "Corporation" includes:
1-22 (A) a limited liability company, including a
1-23 foreign limited liability company, as defined under the Texas
2-1 Limited Liability Company Act (Article 1528n, Vernon's Texas Civil
2-2 Statutes); <and>
2-3 (B) a state or federal savings and loan
2-4 association; and
2-5 (C) a banking corporation.
2-6 (4) <3> "Charter" includes a limited liability
2-7 company's certificate of organization.
2-8 (5) <4> "Internal Revenue Code" means the Internal
2-9 Revenue Code of 1986 in effect for the federal tax year beginning
2-10 on or after January 1, 1990, and before January 1, 1991, and any
2-11 regulations adopted under that code applicable to that period.
2-12 (6) <5> "Officer" and "director" include a limited
2-13 liability company's directors and managers.
2-14 (7) <6> "Savings and loan association" includes a
2-15 state or federal savings bank.
2-16 (8) <7> "Shareholder" includes a limited liability
2-17 company's member.
2-18 SECTION 2. Sections 171.0011(a), (b), and (c), Tax Code, are
2-19 amended to read as follows:
2-20 (a) An additional tax is imposed on a corporation that for
2-21 any reason becomes <is subject to the tax imposed under Section
2-22 171.001 and that is> no longer subject to the earned surplus
2-23 component of the tax, whether or not the corporation remains
2-24 subject to the taxable capital component of the tax <taxing
2-25 jurisdiction of this state in relation to the tax on net taxable
3-1 earned surplus>.
3-2 (b) The additional tax is equal to 4.5 percent of <the rate
3-3 then in effect under 171.002(a)(2) multiplied by> the corporation's
3-4 net taxable earned surplus computed on the period beginning on the
3-5 day after the last day for which the tax imposed on net taxable
3-6 earned surplus was computed under Section 171.1532 and ending on
3-7 the date the corporation is no longer subject to the earned surplus
3-8 component of the tax <taxing jurisdiction of this state in relation
3-9 to the tax on net taxable earned surplus>.
3-10 (c) The additional tax imposed and any report required by
3-11 the comptroller are due on the 60th day after the corporation
3-12 becomes no longer subject to the earned surplus component of the
3-13 tax <are delinquent after the 60th day after the date on which the
3-14 corporation is no longer subject to the taxing jurisdiction of this
3-15 state in relation to the tax on net taxable earned surplus>.
3-16 SECTION 3. Section 171.002(d), Tax Code, is amended to read
3-17 as follows:
3-18 (d) If the amount of tax computed <under Subsection (b)> for
3-19 a corporation is less than $100, the corporation is not required to
3-20 pay that amount and is not considered to owe any tax for that
3-21 period.
3-22 SECTION 4. Article 9.59, Section 16, Insurance Code, is
3-23 amended to read as follows:
3-24 Sec. 16. (a) The definitions for this section are the same
3-25 as for Article 21.49-1 of this code.
4-1 (b) A title insurance holding company that is subject to
4-2 Article 21.49-1, Insurance Code, and which controls one or more
4-3 domestic title insurance companies that are subject to the tax on
4-4 premiums under this article is entitled to a credit against its
4-5 franchise tax imposed by Chapter 171, Tax Code. The amount of the
4-6 credit for each controlled domestic title insurance company is
4-7 computed by multiplying the amount of tax on premiums paid by that
4-8 controlled domestic title insurance company in the most recent
4-9 calendar year ending before the franchise tax report is due, by the
4-10 percentage ownership of the title insurance holding company in the
4-11 controlled domestic title insurance company. The percentage of
4-12 ownership of a controlled domestic title insurance company is
4-13 determined as of the accounting year-end upon which the franchise
4-14 tax report is based.
4-15 (c) A claim for a credit is subject to the following
4-16 limitations:
4-17 (1) if the total amount of the credit for all
4-18 controlled title insurance companies exceeds the franchise tax due,
4-19 the credit is an amount equal to the franchise tax due;
4-20 (2) a credit may not be taken for the same tax on
4-21 premiums more than once <the minimum franchise tax must be paid>;
4-22 and
4-23 (3) a credit may not be carried forward or backward
4-24 and apply to another year's franchise tax report.
4-25 (d) Nothing under this article may be construed to exempt
5-1 title insurance holding companies, or title insurance agents from
5-2 paying any tax imposed under the Tax Code. Provided, however,
5-3 title insurance companies and title insurance agents whose
5-4 principal activity is the business of title insurance are exempted
5-5 from Chapter 171, Tax Code.
5-6 SECTION 5. Sections 171.063(a), (e), (f), and (g), Tax Code,
5-7 are amended to read as follows:
5-8 (a) The following corporations are exempt from the franchise
5-9 tax:
5-10 (1) a nonprofit corporation exempted from the federal
5-11 income tax under Section 501(c)(3), (4), (5), (6), or (7) of the
5-12 Internal Revenue Code of 1954, as it existed on January 1, 1975; or
5-13 (2) a corporation exempted under Section 501(c)(2) or
5-14 (25) of the Internal Revenue Code of 1986, if the entity or
5-15 entities <corporation or corporations> for which it holds title to
5-16 property is either exempt from or not subject to the franchise tax;
5-17 and
5-18 (3) a corporation exempted from federal income tax
5-19 under Section 501(c)(16), of the Internal Revenue Code of 1986.
5-20 (e) An exemption established under Subsection (c) and (d) of
5-21 this section is to be recognized, after it is finally established,
5-22 as of the date <of> the corporation's charter or certificate of
5-23 authority is effective.
5-24 (f) If a corporation timely files evidence with the
5-25 comptroller under Subsection (d) of this section that it has
6-1 applied for a federal exemption and if the application is finally
6-2 denied by the Internal Revenue Service, no penalty will be imposed
6-3 on the corporation for the period from the corporation's beginning
6-4 date to the date of denial of its application for federal
6-5 exemption. <this chapter does not impose a penalty on the
6-6 corporation from the date of its charter or certificate of
6-7 authority to the date of the final denial.>
6-8 (g) If a corporation's federal tax exemption is withdrawn by
6-9 the Internal Revenue Service for failure of the corporation to
6-10 qualify or maintain its qualification for the exemption, the
6-11 corporation's exemption under this section ends on the <effective>
6-12 date the Internal Revenue Service's withdrawal of its federal tax
6-13 exemption is effective <of the withdrawal>. The effective date of
6-14 the Internal Revenue Service's withdrawal will be considered the
6-15 beginning date of the corporation for purpose of determining the
6-16 privilege periods of the corporation and for all purposes of this
6-17 chapter.
6-18 SECTION 6. Section 171.1032, Tax Code, is amended by
6-19 amending Subsection (a) and adding Subsection (c) to read as
6-20 follows:
6-21 (a) In apportioning taxable earned surplus, the gross
6-22 receipts of a corporation from its business done in this state is
6-23 the sum of the corporation's receipts from:
6-24 (1) each sale of tangible personal property if the
6-25 property is delivered or shipped to a buyer in this state
7-1 regardless of the FOB point or another condition of the sale, and
7-2 each sale of tangible personal property shipped from this state to
7-3 a purchaser in another state in which the seller is not subject to
7-4 any tax imposed on, or measured by net income whether or not
7-5 imposed <taxation>;
7-6 (2) each service performed in this state;
7-7 (3) each rental of property situated in this state;
7-8 (4) each royalty for the use of a patent or copyright
7-9 in this state; and
7-10 (5) other business done in this state.
7-11 (c) Amounts deemed received by a corporation in certain
7-12 stock purchases that are treated as asset acquisitions under
7-13 Section 338 of the Internal Revenue Code will be treated as sales
7-14 of assets by the target corporation. For purposes of this
7-15 Subsection, the purchaser of the target corporation's stock will be
7-16 considered the purchaser of the assets.
7-17 SECTION 7. Section 171.1051, Tax Code, is amended by adding
7-18 Subsection (d) to read as follows:
7-19 (d) Amounts deemed received by a corporation in certain
7-20 stock purchases that are treated as asset acquisitions under
7-21 Section 338 of the Internal Revenue Code will be treated as sales
7-22 of assets by the target corporation. For purposes of this
7-23 Subsection, the purchaser of the target corporation's stock will be
7-24 considered the purchaser of the assets.
7-25 SECTION 8. Section 171.106(d), Tax Code, is added to read as
8-1 follows:
8-2 (d) For taxable earned surplus purposes, amounts deemed
8-3 received by a corporation in certain stock purchases that are
8-4 treated as asset acquisitions under Section 338 of the Internal
8-5 Revenue Code will be treated as sales of assets by the target
8-6 corporation. For purposes of this Subsection, the purchaser of the
8-7 target corporation's stock will be considered the purchaser of the
8-8 assets.
8-9 SECTION 9. Section 171.107, Tax Code is amended to read as
8-10 follows:
8-11 Sec. 171.107 DEDUCTION OF COST OF SOLAR ENERGY DEVICE <FROM
8-12 TAXABLE CAPITAL APPORTIONED TO THIS STATE>
8-13 (a) In this section "solar energy device" means a system or
8-14 series of mechanisms designed primarily to provide heating or
8-15 cooling or to produce electrical or mechanical power by collecting
8-16 and transferring solar-generated energy. The term includes a
8-17 mechanical or chemical device that has the ability to store
8-18 solar-generated energy for use in heating or cooling or in the
8-19 production of power.
8-20 (b) A corporation may deduct from its apportioned taxable
8-21 capital the undepreciated <amortized> cost of a solar energy device
8-22 or, after adding back to taxable earned surplus the amount of
8-23 depreciation deducted for the solar energy device in arriving at
8-24 its taxable earned surplus, from its apportioned taxable earned
8-25 surplus 20 <10> percent of the <amortized> cost of a solar energy
9-1 device for the first five years after the date the device is placed
9-2 in service in this state if:
9-3 (1) the device is acquired by the corporation for
9-4 heating or cooling or for the production of power; and
9-5 (2) the device is used solely in this state by the
9-6 corporation<; and>
9-7 <(3) the cost of the device is amortized in accordance
9-8 with Subsection (c) of this section>.
9-9 (c) If a corporation chooses to use the deduction available
9-10 under this section, no depreciation may be deducted in arriving at
9-11 taxable earned surplus for the solar energy device for any report
9-12 year beginning after the fifth year from the date the device is
9-13 placed in service in this state. <The amortization of the cost of
9-14 a solar energy device must:>
9-15 <(1) be for a period of at least 60 months;>
9-16 <(2) provide for equal monthly amounts;>
9-17 <(3) begin on the month in which the device is placed
9-18 in service in this state; and>
9-19 <(4) cover only a period in which the device is in use
9-20 in this state.>
9-21 (d) <A corporation that makes a deduction under this section
9-22 shall file with the comptroller an amortization schedule showing
9-23 the period in which a deduction is to be made.> On the request of
9-24 the comptroller, the corporation shall file with the comptroller
9-25 such proof of the cost of the solar energy device and <or> proof of
10-1 the corporation's use of the device <device's operation> in this
10-2 state as the comptroller may request.
10-3 SECTION 10. Sections 171.109(f), (i), and (j), Tax Code are
10-4 amended to read as follows:
10-5 (f) A corporation declaring dividends shall exclude those
10-6 dividends from its taxable capital as of the date the dividends are
10-7 declared. A corporation receiving dividends shall include those
10-8 dividends in its gross receipts for taxable capital apportionment
10-9 purposes <to the extent not excluded under Section 171.1032(b) or
10-10 171.1051(c),> and in its taxable capital as of the date the
10-11 dividends are declared by the corporation declaring the dividends.
10-12 (i) The following accounts may also be excluded from
10-13 surplus, to the extent they are in conformance with generally
10-14 accepted accounting principles or the appropriate federal income
10-15 tax method, whichever is applicable:
10-16 (1) a reserve or allowance for uncollectable trade
10-17 accounts and trade notes receivable; and
10-18 (2) a contra-asset account for depletion,
10-19 depreciation, or amortization.
10-20 (j) A corporation may not exclude from surplus:
10-21 (1) liabilities for compensation and other benefits
10-22 provided to employees, other than wages, that are not debt as of
10-23 the end of the accounting period upon which the taxable capital
10-24 component is based <are not payable in the current accounting
10-25 year>, including retirement, medical, insurance, postretirement,
11-1 and other similar benefits; and
11-2 (2) deferred investment tax credits.
11-3 SECTION 11. Sections 171.110(d) and (e), Tax Code, are
11-4 amended to read as follows:
11-5 (d) A corporation's reportable federal taxable income is the
11-6 corporation's federal taxable income after Schedule C special
11-7 deductions and before net operating loss deductions as computed
11-8 under the Internal Revenue Code.<, except that> An <an> S
11-9 corporation's or a limited liability company's reportable federal
11-10 taxable income is the amount of the income reportable to the
11-11 Internal Revenue Service as allocated <taxable> to the S
11-12 corporation's shareholders, or to the limited liability company's
11-13 members. For purposes of this subsection, all references to a
11-14 limited liability company shall apply to a limited liability
11-15 company that files a U.S. Partnership Return of Income in reporting
11-16 its federal income tax.
11-17 (1) Items of income, loss, deduction, or credit
11-18 reportable as separately stated items to the shareholders of an S
11-19 corporation or to the members of a limited liability company shall
11-20 be treated as items of income, loss, deduction, or credit of the S
11-21 corporation or of the limited liability company.
11-22 (2) The treatment of items of income, loss, deduction
11-23 or credit shall be subject to any federal income tax requirements
11-24 or limitations imposed on the S corporation or limited liability
11-25 company, but without regard to federal income tax limitations or
12-1 restrictions imposed on the shareholders of an S corporation or on
12-2 the members of a limited liability company.
12-3 (3) Notwithstanding any provision of Subdivision (1)
12-4 or (2) to the contrary, the comptroller may adopt such rules as may
12-5 be necessary in the determination of the comptroller for the
12-6 reporting requirements of specific items of income, loss,
12-7 deduction, or credit of an S corporation or limited liability
12-8 company to which the provisions of this subsection apply.
12-9 (4) Any item of income, loss, deduction, or credit
12-10 taxable to a corporation in its capacity as a member of a limited
12-11 liability company shall be excluded by the corporation in computing
12-12 its own taxable earned surplus.
12-13 (e) For purposes of this section, a business loss is any
12-14 negative amount after apportionment. The business loss may be
12-15 carried forward to the year succeeding the loss year as a deduction
12-16 in computing net taxable earned surplus, then successively to the
12-17 succeeding four report <taxable> years <after the loss year> or
12-18 until the loss is exhausted, whichever occurs first, but for not
12-19 more than five report <taxable> years after the loss year.
12-20 Notwithstanding the preceding sentence, a business loss from a tax
12-21 year that ends before January 1, 1991, may not be used to reduce
12-22 net taxable earned surplus. The business loss carried forward
12-23 under this section may not be conveyed, assigned, or transferred to
12-24 any other entity for its use in calculating its franchise tax.
12-25 SECTION 12. Section 171.1121(a), Tax Code, is amended to
13-1 read as follows:
13-2 (a) For purposes of this section, "gross receipts" means all
13-3 revenues reportable by a corporation on its federal tax return,
13-4 without deduction for the cost of property sold, materials used,
13-5 labor performed, or other costs incurred, unless otherwise
13-6 specifically provided in this chapter. The term "gross receipts"
13-7 does not include revenues which are not included in taxable earned
13-8 surplus. For example, Schedule C special deductions and any
13-9 amounts subtracted from reportable federal taxable income under
13-10 section 171.110(a)(1) are not included in taxable earned surplus
13-11 and therefore are not considered "gross receipts."
13-12 SECTION 13. Section 171.151, Tax Code, is amended to read as
13-13 follows:
13-14 Sec. 171.151. Privilege Period Covered by Tax.
13-15 The franchise tax shall be paid for each of the following:
13-16 (1) an initial period beginning on the beginning date
13-17 of <that> the corporation <files its charter or is granted a
13-18 certificate of authority or the date that a foreign corporation
13-19 begins doing business in this state, whichever is earlier,> and
13-20 ending on the day before the first anniversary of the beginning
13-21 <that> date;
13-22 (2) a second period beginning on the first anniversary
13-23 of the beginning date of <that> the corporation <files its charter
13-24 or is granted its certificate of authority or the date that a
13-25 foreign corporation begins doing business in this state, whichever
14-1 is earlier,> and ending on the December 31 following the beginning
14-2 <that> date, unless the date of the first anniversary is December
14-3 31, in which event the second period begins and ends on that
14-4 December 31; and
14-5 (3) after the initial and second periods have expired,
14-6 a regular annual period beginning each year on January 1 and ending
14-7 the following December 31.
14-8 SECTION 14. Section 171.152(c), Tax Code, is amended to read
14-9 as follows:
14-10 (c) Payment of the tax covering the regular annual period is
14-11 due May 15 of each year after the beginning of the regular annual
14-12 period. However, if the anniversary of the beginning date of the
14-13 corporation <date that the domestic corporation files its charter
14-14 or the foreign corporation begins doing business in Texas or is
14-15 granted its certificate of authority, whichever occurs first,> is
14-16 after October 3 and before January 1, the payment of the tax
14-17 covering the first regular annual period is due on the same day as
14-18 the tax covering the initial period.
14-19 SECTION 15. Sections 171.153(a) and (c), Tax Code are
14-20 amended to read as follows:
14-21 (a) The tax covering the initial period is reported on the
14-22 initial report and is based on the business done by the corporation
14-23 during the period beginning on the beginning date of the
14-24 corporation <day the corporation files its charter or is granted a
14-25 certificate of authority or the date that a foreign corporation
15-1 begins doing business in this state, whichever is earlier,> and:
15-2 (1) ending on the last accounting period ending date
15-3 that is at least six months after the beginning date and at least
15-4 60 days before the original due date of the initial report; or
15-5 (2) if there is no such period ending date in
15-6 Subdivision (1) of this subsection, then ending on the day that is
15-7 the last day of a calendar month and that is nearest to the end of
15-8 the corporation's first year of business; or
15-9 (3) ending on the day after the merger occurs, for the
15-10 survivor of a merger which occurs after the day on which the tax is
15-11 based in Subdivision (1) or Subdivision (2), whichever is
15-12 applicable, of Subsection (a) and before January 1 of the year an
15-13 initial report is due by the survivor.
15-14 (c) The tax covering the regular annual period is based on
15-15 the business done by the corporation during its last accounting
15-16 period that ends in the year before the year in which the tax is
15-17 due; unless a corporation is the survivor of a merger which occurs
15-18 between the end of its last accounting period in the year before
15-19 the report year and January 1 of the report year, in which case the
15-20 tax will be based on the financial condition of the surviving
15-21 corporation for the 12-month period ending on the day after the
15-22 merger. However, if the first anniversary of the beginning date of
15-23 the corporation <that the corporation files its charter, is granted
15-24 a certificate of authority, or begins doing business in this state>
15-25 is after October 3 and before January 1, the tax covering the first
16-1 regular annual period is based on the same business on which the
16-2 tax covering the initial period is based and is reported on the
16-3 initial report.
16-4 SECTION 16. Sections 171.1531(b) and (c), Tax Code, are
16-5 amended to read as follows:
16-6 (b) The survivor of a merger is entitled to a credit against
16-7 the tax computed on its net taxable capital under Section
16-8 171.002(b)(1) <or refund> in the amount of the franchise tax
16-9 computed on net taxable capital paid by the nonsurvivors for the
16-10 credit period, provided the tax computed on net taxable capital
16-11 paid by the survivor for the credit period is based on the
16-12 survivor's financial condition after the merger. Only a survivor
16-13 that is subject to the franchise tax is entitled to the merger
16-14 credit <or refund>. The merger credit shall be allocated among
16-15 survivors based on net taxable capital reported, and as provided by
16-16 Section 171.153.
16-17 (c) The credit <or refund> will be limited to the lesser of
16-18 the amount of tax on net taxable capital paid for the credit period
16-19 by the survivor or by the nonsurvivors.
16-20 SECTION 17. Section 171.1532, Tax Code, is amended by
16-21 amending Subsections (a) and (b) to read as follows:
16-22 (a) The tax covering the privilege periods included on the
16-23 initial report, as required by Section 171.153, is based on the
16-24 business done by the corporation during the period beginning on the
16-25 beginning date of the corporation <day the corporation files its
17-1 charter or is granted a certificate of authority or the date that a
17-2 foreign corporation begins doing business in this state, whichever
17-3 is earlier,>; and
17-4 (1) ending on the last accounting period ending date
17-5 for federal income tax purposes that is at least 60 days before the
17-6 original due date of the initial report; or
17-7 (2) if there is no such period ending date in
17-8 Subdivision (1) of this subsection, then ending on the day that is
17-9 the last day of a calendar month and that is nearest to the end of
17-10 the corporation's first year of business.
17-11 (b) The tax covering the regular annual period, other than a
17-12 regular annual period included on the initial report, is based on
17-13 the business done by the corporation during the period beginning
17-14 with the day after the last date upon which earned surplus on a
17-15 previous report was <the initial report is> based<, as required by
17-16 Subsection (a) of this section,> and ending with its last
17-17 accounting period ending date for federal income tax purposes in
17-18 the year before the year in which the report is originally due.
17-19 If there is no such ending date, then December 31 must be used.
17-20 SECTION 18. Section 171.201(a), Tax Code, is amended to read
17-21 as follows:
17-22 (a) Except as provided by Section 171.2022 a corporation on
17-23 which the franchise tax is imposed shall file an initial report
17-24 with the comptroller containing:
17-25 (1) financial information of the corporation necessary
18-1 to compute the tax under this chapter <information showing the
18-2 financial condition of the corporation on the day that is the last
18-3 day of a calendar month and that is nearest to the end of the
18-4 corporation's first year of business>;
18-5 (2) the name and address of each officer and director
18-6 of the corporation;
18-7 (3) the name and address of the agent of the
18-8 corporation designated under Section 171.354; and
18-9 (4) other information required by the comptroller.
18-10 SECTION 19. Section 171.202(d), Tax Code, is amended to read
18-11 as follows:
18-12 (d) In the case of a taxpayer whose previous return was its
18-13 initial report, the optional payment provided under Paragraph (B)
18-14 of Subdivision (2) of Subsection (c) of this section must be equal
18-15 to the greater of:
18-16 (1) an amount produced by multiplying the net taxable
18-17 capital, as reported <required to be shown> on the initial report,
18-18 by the rate of tax in Section 171.002(a)(1) which is effective
18-19 January 1 of the year in which the report is due; or
18-20 (2) an amount produced by multiplying the <amount paid
18-21 on> net taxable earned surplus, reported <as required> on the
18-22 initial report, by the rate of tax in Section 171.002(a)(2) which
18-23 is effective January 1 of the year in which the report is due.
18-24 SECTION 20. Section 171.255(a), Tax Code is amended to read
18-25 as follows:
19-1 (a) If the corporate privileges of a corporation are
19-2 forfeited for the failure to file a report or pay a tax or penalty,
19-3 each director or officer of the corporation is liable for each debt
19-4 of the corporation that is created or incurred in this state after
19-5 the date on which the report, tax or penalty is due and before the
19-6 corporate privileges are revived. The liability includes liability
19-7 for any tax or penalty imposed by this chapter on the corporation
19-8 that becomes due and payable after the date of the forfeiture. For
19-9 purposes of this section, the term "debt" specifically includes any
19-10 amount owed under this Title or any other provision of state law
19-11 for tax, interest or penalty.
19-12 SECTION 21. This Act takes effect for reports originally due
19-13 on or after January 1, 1994.
19-14 SECTION 22. The importance of this legislation and the
19-15 crowded condition of the calendars in both houses create an
19-16 emergency and an imperative public necessity that the
19-17 constitutional rule requiring bills to be read on three several
19-18 days in each house be suspended, and this rule is hereby suspended.