By Berlanga H.B. No. 2453
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the administration and application of and exemptions
1-3 from various excise taxes; specifying the types of records and
1-4 documentation required to be prepared, accepted, or maintained by
1-5 taxpayers and submitted to the comptroller; the authority of the
1-6 comptroller and authorized employees to obtain access to and
1-7 examine persons, records and documents; creating offenses; and
1-8 providing penalties.
1-9 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-10 SECTION 1. Section 111.104(b), Tax Code, is amended to read
1-11 as follows:
1-12 (b) A tax refund claim may be filed with the comptroller by
1-13 the person who paid the tax directly to the state or by that <the>
1-14 person's attorney, other duly authorized representative <assignee>,
1-15 or <other> successor, and may not be assigned.
1-16 SECTION 2. Subsections (c) and (d), Section 151.302, Tax
1-17 Code, are repealed.
1-18 SECTION 3. Section 151.318(c), Tax Code, is amended to read
1-19 as follows:
1-20 (c) The exemption does not include:
1-21 (1) machinery, equipment, or replacement parts or
1-22 their accessories having a useful life when new in excess of six
1-23 months;
2-1 (2) intraplant transportation equipment, maintenance
2-2 or janitorial supplies or equipment, or other machinery, equipment,
2-3 materials, or supplies that are used incidentally in a
2-4 manufacturing, processing, or fabrication operation;
2-5 (3) hand tolls; or
2-6 (4) office equipment or supplies, equipment or
2-7 supplies used in sales or distribution activities, research or
2-8 development of new products, or transportation activities, or other
2-9 tangible personal property not used in an actual manufacturing,
2-10 processing, or fabrication operation<; or>
2-11 <(5) internal or external wrapping, packing, and
2-12 packaging supplies, as defined by Section 151.302(d), purchased for
2-13 a person's own use, stored for use, or used in wrapping, packing,
2-14 or packaging tangible personal property>.
2-15 SECTION 4. Section 151.319(e), Tax Code, is amended to read
2-16 as follows:
2-17 (e) The following items are not exempted by Subsection (d)
2-18 of this section:
2-19 (1) machinery or equipment or their accessories or
2-20 replacement parts having a useful life when new in excess of six
2-21 months;
2-22 (2) intraplant transportation equipment, maintenance
2-23 or janitorial supplies or equipment, or other machinery, equipment,
2-24 materials, or supplies that are used incidentally to printing or
2-25 processing;
3-1 (3) hand tools; or
3-2 (4) office equipment or supplies; equipment or
3-3 supplies used in sales, distribution, or transportation activities,
3-4 or in gathering information; or other tangible personal property
3-5 used by a newspaper printer in an activity other than the actual
3-6 printing and processing operation<; or>
3-7 <(5) internal or external wrapping, packing, and
3-8 packaging supplies, as defined by Section 151.302(d), purchased for
3-9 a person's own use, stored for use, or used in wrapping, packing,
3-10 or packaging tangible personal property>.
3-11 SECTION 5. Section 151.322(b)(3), Tax Code is repealed.
3-12 SECTION 6. Section 151.328, Tax Code, is amended to read as
3-13 follows:
3-14 Sec. 151.328. Aircraft. (a) Aircraft are exempted from the
3-15 taxes imposed by this chapter if:
3-16 (1) sold to a person using the aircraft as a
3-17 certificated or licensed carrier of persons or property;
3-18 (2) sold to a person and used for the exclusive
3-19 purpose of training or instructing pilots in a licensed course of
3-20 instruction; <or>
3-21 (3) sold to a foreign government <or to persons who
3-22 are not residents of this state.>; or
3-23 (4) sold to persons for use and registration in
3-24 another state or nation, prior to any use in this state other than
3-25 the transportation of the aircraft out of state.
4-1 (b) Repair, remodeling, and maintenance services to aircraft
4-2 operated by a certificated or licensed carrier of persons or
4-3 property or to an engine or other component part of an aircraft
4-4 operated by a certificated or licensed carrier of persons or
4-5 property are exempted from the taxes imposed by this chapter.
4-6 (c) In this section, "aircraft" does not include a rocket or
4-7 missile, but does include:
4-8 (1) a fixed wing, heavier-than-air craft that is
4-9 driven by propeller or jet and supported by the dynamic reaction of
4-10 the air against its wings;
4-11 (2) a helicopter; and
4-12 (3) an airplane flight simulator approved by the
4-13 Federal Aviation Administration for use as a Phase II or higher
4-14 flight simulator under Appendix H, 14 C.F.R. Part 121.
4-15 (d) Machinery, tools, and equipment used or consumed
4-16 exclusively in the repair, remodeling, or maintenance of aircraft
4-17 engines, or aircraft component parts by or on behalf of a
4-18 certificated or licensed carrier of persons or property are
4-19 exempted from the taxes imposed by this chapter.
4-20 (e) Tangible personal property that is permanently affixed
4-21 or attached as a component part of an aircraft owned or operated by
4-22 a certificated or licensed carrier of persons or property is
4-23 exempted from the taxes imposed by this chapter.
4-24 (f) To qualify for the exemption provided under Subsection
4-25 151.328(a)(4), the person purchasing such aircraft in this state
5-1 must sign a special exemption certificate at the time of purchase.
5-2 The exemption certificate shall be designated an exemption
5-3 certificate for purchase of aircraft for out of state registration
5-4 and use and shall:
5-5 (1) be on a form designated by the comptroller and
5-6 shall contain such information as the comptroller may deem
5-7 reasonable;
5-8 (2) have all information required by the comptroller
5-9 on the form provided in full in order to be valid; and
5-10 (3) be signed by the purchaser at the time of the
5-11 purchase and be authorization for the comptroller to furnish a copy
5-12 of the certificate to the state or nation of intended use and
5-13 registration.
5-14 (g) A person commits an offense if:
5-15 (1) the person gives an exemption certificate required
5-16 under this Section to a seller for an aircraft that this person
5-17 knows, at the time of purchase, will be used in a manner other than
5-18 that expressed in the exemption certificate; or
5-19 (2) the person gives an exemption certificate with
5-20 fraudulent intent or intent to wrongfully evade the payment of the
5-21 tax imposed under this chapter.
5-22 (3) An offense under this Section is a felony of the
5-23 third degree.
5-24 SECTION 7. Subchapter H, Chapter 151, Tax Code, is amended
5-25 by adding Section 151.351, to read as follows:
6-1 Sec. 151.351. Packaging Supplies and Wrapping
6-2 (a) Internal and external wrapping, packing, and packaging
6-3 supplies are exempted from the taxes imposed by this chapter if
6-4 sold to a person for use, stored for future use, or used in
6-5 wrapping, packing, or packaging tangible personal property for the
6-6 purpose of furthering the sale of the property wrapped, packed, or
6-7 packaged or for the purpose of furthering the distribution of a
6-8 newspaper whether or not the newspaper is distributed without
6-9 charge.
6-10 (b) In this section, "wrapping," "packing," and "packaging
6-11 supplies and material" include:
6-12 (1) wrapping paper, wrapping twine, bags, cartons,
6-13 crates, crating material, tape, rope, rubber bands, labels,
6-14 staples, glue, and mailing tubes; and
6-15 (2) excelsior, straw, cardboard fillers, separators,
6-16 shredded paper, ice, dry ice, cotton batting, shirt boards, hay,
6-17 laths, and other property used inside a package in order to shape,
6-18 form, stabilize, preserve, or protect the contents.
6-19 SECTION 8. Subchapter A, Chapter 152, Tax Code, is amended
6-20 by adding Section 152.004, to read as follows:
6-21 Sec. 152.004. Records. (a) Definitions. The following
6-22 words and terms, when used in this section, shall have the
6-23 following meanings, unless - the context clearly indicates
6-24 otherwise.
6-25 (1) Cash sale means a transfer of ownership of a motor
7-1 vehicle where the full amount of the consideration is given the
7-2 seller in money, check, other negotiable instrument, or other
7-3 property at the time of purchase and title is not encumbered by a
7-4 seller's or third party's lien.
7-5 (2) Consignment/agent sale means a sale where the
7-6 owner of a motor vehicle is represented by an agent, broker, or
7-7 factor to transact the sale of the motor vehicle.
7-8 (3) Seller means a person who for himself or another
7-9 sells, rents, or transfers ownership of a motor vehicle for
7-10 consideration.
7-11 (4) Seller financed sale means a credit sale or
7-12 transfer of a motor vehicle other than a rental, lease, or cash
7-13 sale, for consideration, when title is retained or encumbered by
7-14 the seller as security for payment of the purchase price. Seller
7-15 financed sale includes a sale where financing is provided by an
7-16 entity related to the seller. An entity is related if the lender's
7-17 primary activity is to provide financing for the purchase of
7-18 tangible personal property, including motor vehicles, that are
7-19 purchased from the related seller.
7-20 (5) Third party financed sale means a transfer of a
7-21 motor vehicle where the consideration is provided the buyer by a
7-22 lender and the title is retained or encumbered by the lender not
7-23 related to the seller.
7-24 (6) Title means the certificate of title document as
7-25 provided for under the Certificate of Title Act, Article 6687-1.
8-1 (b) Except as otherwise provided in this chapter, every
8-2 seller must maintain business records at the seller's principal
8-3 place of business as defined and required by this section in such a
8-4 form as may readily be examined by the comptroller or a comptroller
8-5 representative. Sellers must retain these records for a minimum
8-6 period of four years from the date of purchase and four years from
8-7 the date of sale of the motor vehicle.
8-8 (c) A seller's business records must reflect the total
8-9 receipts from all business income and expense including, but not
8-10 limited to, transactions involving motor vehicles. Business
8-11 records must include any documents required by other state
8-12 agencies, the federal government, or a political subdivision.
8-13 (d) The records kept must include, but are not limited to,
8-14 the items specified in this subsection.
8-15 (1) For all sales transactions:
8-16 (A) a photocopy of the completed application for
8-17 title/registration/motor vehicle tax affidavit;
8-18 (B_) a photocopy of the assigned title or
8-19 manufacturer's certificate of origin, front and back;
8-20 (C) a photocopy of the completed odometer
8-21 statement (if separate from title);
8-22 (D) the sales contract, dated and signed,
8-23 itemizing all charges; and
8-24 (E) photocopy of the assigned title or
8-25 manufacturer's certificate of origin, front and back, to any
9-1 trade-in motor vehicle described in the sales contract;
9-2 (2) For cash sales: In addition to business records
9-3 required in paragraph (1) of this subsection, when the seller did
9-4 not handle the transfer of the certificate of title or tax payment,
9-5 the seller's records must include a statement by the purchaser,
9-6 that is signed and dated, and indicating the date each of the
9-7 documents necessary to apply for the title, register the vehicle
9-8 and pay the motor vehicle sales tax, were provided to the purchaser
9-9 by the seller. The document should also include a statement that
9-10 the seller advised the purchaser that the purchaser must pay tax to
9-11 the county tax assessor collector;
9-12 (3) For seller-financed sales: In addition to records
9-13 required in paragraph (1) of this subsection, seller's business
9-14 records must include:
9-15 (A) a photocopy of the receipt for title
9-16 application/registration/motor vehicle sales tax (Form 31
9-17 lienholder copy) were the dealer transferred the certificate of
9-18 title. If the seller did not handle the transfer of the
9-19 certificate of title, the seller must retain a statement by the
9-20 purchaser, that is signed and dated, and indicating the date that
9-21 each of the documents necessary to apply for the certificate of
9-22 title, register the vehicle and pay the motor vehicle sales tax,
9-23 were provided to the purchaser by the seller. The document should
9-24 also include a statement that the seller advised the purchaser that
9-25 the purchaser must pay tax to the county tax assessor-collector;
10-1 and
10-2 (B) documentation of purchaser's payment(s);
10-3 (4) For third-party financed transactions: In
10-4 addition to records required in paragraph (1) of this subsection,
10-5 seller's business records must include:
10-6 (A) a copy of the draft or check from the third
10-7 party lender; and
10-8 (B) documentation that the payment from the
10-9 third party lender is for payment of the specific transaction; and
10-10 (5) For consignment/agent sales. In addition to any
10-11 other records required by this subsection, seller's business
10-12 records must include a copy of a written consignment agreement,
10-13 signed and dated by the consignor. The motor vehicle must be
10-14 identified by the vehicle identification number in the document.
10-15 (e) All written sales contracts and sales invoices must be
10-16 retained as originals or photocopies by the seller, and must
10-17 include:
10-18 (1) the name and address of the seller;
10-19 (2) the name and address of the purchaser;
10-20 (3) the date of sale;
10-21 (4) the sales price and installment payment amounts,
10-22 if applicable;
10-23 (5) description of vehicle sold including the vehicle
10-24 identification number;
10-25 (6) description and value of any vehicle traded-in to
11-1 the seller including the vehicle identification number;
11-2 (7) interest charges, if any, separately stated;
11-3 (8) documentary fee, if any, separately stated; and
11-4 (9) insurance charges, if any, separately stated.
11-5 SECTION 9. Section 152.044, Tax Code, is amended to read as
11-6 follows:
11-7 Sec. 152.044. Payment by Seller. If the Comptroller on an
11-8 audit of the records of a seller finds that the amount of tax due
11-9 was incorrectly reported on a joint statement <affidavit> and that
11-10 the amount of the tax paid was less than the amount due or that the
11-11 seller failed to execute and deliver to the purchaser a joint
11-12 statement <affidavit> and any other documents necessary to register
11-13 the vehicle, the seller and purchaser are jointly and severally
11-14 <is> liable for the amount of the tax determined to be due.
11-15 SECTION 10. Section 152.062, Tax Code, is amended to read as
11-16 follows:
11-17 Sec. 152.062. REQUIRED STATEMENTS <AFFIDAVITS>. (a) The
11-18 persons obligated by this chapter to pay taxes on the transaction
11-19 shall file a joint statement <affidavit> with the tax
11-20 assessor-collector of the county in which the application for
11-21 registration and for a Texas certificate of title is made.
11-22 (b) The statement <affidavit> must be in the following form:
11-23 (1) if a motor vehicle is sold, the seller and
11-24 purchaser shall make a joint statement of <affidavit stating> the
11-25 then value in dollars of the total consideration for the vehicle;
12-1 or
12-2 (2) if the ownership of a motor vehicle is transferred
12-3 as the result of a gift or even exchange, the principal parties
12-4 shall make a joint statement describing <affidavit stating> the
12-5 nature of the transaction.
12-6 (c) If a party to a sale, even exchange, or gift is a
12-7 corporation, the president, vice-president, secretary, manager, or
12-8 other authorized officer of the corporation shall make the
12-9 statement <affidavit> for the corporation.
12-10 (d) The tax assessor-collector shall keep a copy of each
12-11 statement <affidavit> until it is called for by the comptroller for
12-12 auditing.
12-13 SECTION 11. Section 152.063, Tax Code, is amended to read as
12-14 follows:
12-15 Sec. 152.063. Records. (a) The seller of a motor vehicle
12-16 shall keep at his principal office for at least four years from the
12-17 date of sale a complete record of each retail sale of a motor
12-18 vehicle. The record must include a copy of the invoice for each
12-19 vehicle sold, a copy of the tax receipt filed with the tax-assessor
12-20 collector as proof that the tax collected was remitted, and a
12-21 monthly report listing the number of vehicles sold and traded in,
12-22 including the vehicle identification numbers, joint affidavit
12-23 numbers, and tax receipt numbers for such vehicles. The invoice
12-24 copy must show the full price of the motor vehicle and the itemized
12-25 price of all its accessories. All sales and supporting records of
13-1 a seller are open to inspection and audit by the comptroller.
13-2 SECTION 12. Section 152.092, Tax Code, is amended to read as
13-3 follows:
13-4 (a) The taxes imposed by this chapter do not apply to the
13-5 retail sale of a motor vehicle that is transported out of state,
13-6 prior to any use in this state other than the transportation of the
13-7 vehicle out of state, for use exclusively outside this state.
13-8 (b) The purchaser of a motor vehicle must sign an exemption
13-9 certificate at the time of the purchase to qualify for this
13-10 exemption. The exemption certificate shall be on a form designated
13-11 by the comptroller and shall contain such information as the
13-12 comptroller may deem reasonable. To be valid, all information
13-13 required by the comptroller on the form must be provided in full.
13-14 (c) The exemption certificate must be signed by the
13-15 purchaser. The signature of the purchaser on the exemption
13-16 certificate authorizes the comptroller to furnish a copy of the
13-17 certificate to the state of intended use and registration.
13-18 (d) The penalties for signing a false affidavit under
13-19 Section 152.101 of this chapter shall also be applicable to the
13-20 offense of signing a false exemption certificate under this
13-21 section.
13-22 SECTION 13. Subsection (a), Section 152.101, Tax Code, is
13-23 amended to read as follows:
13-24 Sec. 152.101. PENALTY FOR SIGNING FALSE STATEMENTS
13-25 <AFFIDAVITS>. (a) A person commits an offense if the person signs
14-1 a joint statement <affidavit> required by Section 152.062 of this
14-2 code and knows that it is false in any material fact.
14-3 SECTION 14. Subchapter A, Chapter 160, Tax Code, is amended
14-4 by adding Section 160.004, to read as follows:
14-5 Sec. 160.004. Records. (a) Definitions. The following
14-6 words and terms, when used in this section, shall have the
14-7 following meanings, unless - the context clearly indicates
14-8 otherwise.
14-9 (1) Cash sale means a transfer of ownership of a
14-10 taxable boat or motor where the full amount of the consideration is
14-11 given the seller in money, check, other negotiable instrument, or
14-12 other property at the time of purchase and title is not encumbered
14-13 by a seller's or third party's lien.
14-14 (2) Consignment/agent sale means a sale where the
14-15 owner of a taxable boat or motor is represented by an agent,
14-16 broker, or factor to transact the sale of the taxable boat or
14-17 motor.
14-18 (3) Seller means a person who for himself or another
14-19 sells, rents, or transfers ownership of a taxable boat or motor for
14-20 consideration.
14-21 (4) Seller financed sale means a credit sale or
14-22 transfer of a taxable boat or motor other than a rental, lease, or
14-23 cash sale, for consideration, when title is retained or encumbered
14-24 by the seller as security for payment of the purchase price.
14-25 Seller financed sale includes a sale where financing is provided by
15-1 an entity related to the seller. An entity is related if the
15-2 lender's primary activity is to provide financing for the purchase
15-3 of tangible personal property, including taxable boats or motors,
15-4 that are purchased from the related seller.
15-5 (5) Third party financed sale means a transfer of a
15-6 taxable boat or motor where the consideration is provided the buyer
15-7 by a lender and the title is retained or encumbered by the lender
15-8 not related to the seller.
15-9 (6) Title means the certificate of title document as
15-10 provided for under the Chapter 31, Parks and Wildlife Code.
15-11 (b) Except as otherwise provided in this chapter, every
15-12 seller must maintain business records at the seller's principal
15-13 place of business as defined and required by this section in such a
15-14 form as may readily be examined by the comptroller or a comptroller
15-15 representative. Sellers must retain these records for a minimum
15-16 period of four years from the date of purchase and four years from
15-17 the date of sale of the taxable boat or motor.
15-18 (c) A seller's business records must reflect the total
15-19 receipts from all business income and expense including, but not
15-20 limited to, transactions involving taxable boats or motors.
15-21 Business records must include any documents required by other state
15-22 agencies, the federal government, or a political subdivision.
15-23 (d) The records kept must include, but are not limited to,
15-24 the items specified in this subsection.
15-25 (1) For all sales transactions:
16-1 (A) a photocopy of the completed application for
16-2 title/registration/tax affidavit;
16-3 (B) a photocopy of the assigned title or
16-4 manufacturer's certificate of origin, front and back;
16-5 (C) the sales contract, dated and signed,
16-6 itemizing all charges; and
16-7 (D) photocopy of the assigned title or
16-8 manufacturer's certificate of origin, front and back, to any
16-9 trade-in boat or motor described in the sales contract;
16-10 (2) For cash sales: In addition to business records
16-11 required in paragraph (1) of this subsection, when the seller did
16-12 not handle the transfer of the certificate of title or tax payment,
16-13 the seller's records must include a statement by the purchaser,
16-14 that is signed and dated, and indicating the date each of the
16-15 documents necessary to apply for the title, register the vehicle
16-16 and pay the boat or motor sales tax, were provided to the purchaser
16-17 by the seller. The document should also include a statement that
16-18 the seller advised the purchaser that the purchaser must pay tax to
16-19 the county tax assessor collector or the department;
16-20 (3) For seller-financed sales: In addition to records
16-21 required in paragraph (1) of this subsection, seller's business
16-22 records must include:
16-23 (A) a photocopy of the receipt for title
16-24 application/registration/sales tax where the dealer transferred the
16-25 certificate of title. If the seller did not handle the transfer of
17-1 the certificate of title, the seller must retain a statement by the
17-2 purchaser, that is signed and dated, and indicating the date that
17-3 each of the documents necessary to apply for the certificate of
17-4 title, register the vehicle and pay the tax, were provided to the
17-5 purchaser by the seller. The document should also include a
17-6 statement that the seller advised the purchaser that the purchaser
17-7 must pay tax to the county tax assessor-collector or the
17-8 department; and
17-9 (B) documentation of purchaser's payment(s);
17-10 (4) For third-party financed transactions: In
17-11 addition to records required in paragraph (1) of this subsection,
17-12 seller's business records must include:
17-13 (A) a copy of the draft or check from the third
17-14 party lender; and
17-15 (B) documentation that the payment from the
17-16 third party lender is for payment of the specific transaction; and
17-17 (5) For consignment/agent sales. In addition to any
17-18 other records required by this subsection, seller's business
17-19 records must include a copy of a written consignment agreement,
17-20 signed and dated by the consignor. The taxable boat or motor must
17-21 be identified by its identification number in the document.
17-22 (e) All written sales contracts and sales invoices must be
17-23 retained as originals or photocopies by the seller, and must
17-24 include:
17-25 (1) the name and address of the seller;
18-1 (2) the name and address of the purchaser;
18-2 (3) the date of sale;
18-3 (4) the sales price and installment payment amounts,
18-4 if applicable;
18-5 (5) description of taxable boat or motor sold
18-6 including its identification number;
18-7 (6) description and value of any boat or motor
18-8 traded-in to the seller including its identification number;
18-9 (7) interest charges, if any, separately stated;
18-10 (8) documentary fee, if any, separately stated; and
18-11 (9) insurance charges, if any, separately stated.
18-12 SECTION 15. Section 160.042, Tax Code, is amended to read as
18-13 follows:
18-14 Sec. 160.042. REQUIRED STATEMENTS <AFFIDAVITS>. (a) A
18-15 person obligated to pay a tax imposed by this chapter on a
18-16 transaction shall file the statement <affidavit> as provided by
18-17 this section with the department or tax assessor-collector on
18-18 payment of a tax imposed by this chapter.
18-19 (b) If a taxable boat or motor is sold by a person at a
18-20 retail sale, the seller and purchaser shall make a statement of
18-21 <affidavit stating> the value in dollars of the total consideration
18-22 of the boat or motor at the time of sale.
18-23 (c) If the ownership of a taxable boat or motor is
18-24 transferred as a result of a gift, the donor shall make a joint
18-25 statement describing <affidavit stating> the nature of the
19-1 transaction.
19-2 (d) If the ownership of a taxable boat or motor is
19-3 transferred as a result of an even exchange, the parties shall make
19-4 a joint statement describing <affidavit stating> the nature of the
19-5 transaction.
19-6 (e) The department or the tax collector-assessor shall
19-7 examine each statement <affidavit> for the purpose of determining
19-8 the truth and accuracy of the information it contains. If the
19-9 department, the tax collector-assessor, or the comptroller has
19-10 reason to question the truth of the information in a <an> statement
19-11 <affidavit>, or if any material fact fails to meet the rules
19-12 adopted by the comptroller, the department, or the tax
19-13 assessor-collector, or the comptroller may require any party to the
19-14 statement <affidavit> to furnish substantiation of information in
19-15 the statement <affidavit> before accepting an application for a
19-16 Texas certificate of number or certificate of title.
19-17 (f) The department and the tax assessor-collector shall keep
19-18 a copy of each statement <affidavit> and any substantiating
19-19 materials until it is called for by the comptroller for auditing.
19-20 SECTION 16. Section 160.043, Tax Code, is amended to read as
19-21 follows:
19-22 Sec. 160.043. Payment by Seller. If the comptroller on an
19-23 audit of the records of a seller finds that the amount of tax due
19-24 was incorrectly reported on a joint statement <affidavit> and that
19-25 the amount of tax paid was less than the amount due or that the
20-1 seller failed to execute and deliver to the purchaser a joint
20-2 statement <affidavit> and any other documents necessary to register
20-3 the taxable boat or motor, the seller and purchaser are jointly and
20-4 severally liable for the amount of the tax determined to be due.
20-5 SECTION 17. Section 160.046, Tax Code, is amended to read as
20-6 follows:
20-7 Sec. 160.046. Records.
20-8 (a) The seller of a taxable boat or motor shall keep at his
20-9 principal office for at least four years from the date of the sale
20-10 a complete record of each sale of a taxable boat or motor.
20-11 (b) The record must include:
20-12 (1) a copy of the invoice of each boat or motor <item>
20-13 sold. The invoice copy must show the full price of the taxable
20-14 boat or motor and the itemized price of all its accessories;
20-15 (2) a copy of all written sales contracts, which
20-16 should include the sales price and all installment payment amounts,
20-17 if applicable;
20-18 (3) the name and address of the seller;
20-19 (4) the name and address of the purchaser;
20-20 (5) a description of the boat or motor sold including
20-21 the boat or motor identification number;
20-22 (6) a description and value of any boat or motor
20-23 traded-in to the seller including the boat or motor identification
20-24 number;
20-25 (7) interest charges, if any, separately stated; and
21-1 (8) a copy of any written consignment agreement,
21-2 signed and dated by the consignor, including the boat or motor
21-3 identification number.
21-4 (c) All sales and supporting records of a seller are open to
21-5 inspection and audit by the comptroller.
21-6 SECTION 18. Chapter 160, Tax Code, is amended by adding
21-7 Section 160.062 to read as follows:
21-8 Sec. 160.062. PENALTY FOR SIGNING FALSE STATEMENTS. (a) A
21-9 person commits an offense if the person signs a joint statement
21-10 required by Section 160.042 of this code and knows that it is false
21-11 in any material fact.
21-12 (b) An offense under this section is a third-degree felony
21-13 punishable by the standards set forth in Section 12.34, Penal Code.
21-14 SECTION 19. Subchapter B, Chapter 403, Government Code, is
21-15 amended by adding Section 403.0111 to read as follows:
21-16 Sec. 403.0111. SUBPOENA POWER. The comptroller may issue a
21-17 subpoena if the comptroller determines that the subpoena is
21-18 necessary for the proper discharge of the duties imposed by law on
21-19 the comptroller. The comptroller may subpoena a person to appear
21-20 at a place and time stipulated in the subpoena for the taking of
21-21 the person's deposition, and the subpoena may require the person to
21-22 produce at the time of the deposition books, documents, records,
21-23 papers, accounts, and all other objects that may be necessary to
21-24 make a full determination of the facts essential to the completion
21-25 of an investigation by the comptroller.
22-1 SECTION 20. This Act take effect September 1, 1993.
22-2 SECTION 21. The importance of this legislation and the
22-3 crowded condition of the calendars in both houses create an
22-4 emergency and an imperative public necessity that the
22-5 constitutional rule requiring bills to be read on three several
22-6 days in each house be suspended, and this rule is hereby suspended.