By Ogden H.B. No. 2482 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to a franchise tax credit for the conversion or purchase 1-3 of an alternative fuel motor vehicle. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter A, Chapter 171, Tax Code, is amended 1-6 by adding Section 171.0022 to read as follows: 1-7 Sec. 171.0022. CREDIT FOR CONVERSION OR PURCHASE OF 1-8 ALTERNATIVE FUEL MOTOR VEHICLE. (a) A corporation that purchases 1-9 a motor vehicle powered exclusively by natural gas or liquefied 1-10 petroleum gas or that converts a motor vehicle so that it is 1-11 powered exclusively by natural gas or liquefied petroleum gas may 1-12 take a credit for the vehicle purchased or converted in an amount 1-13 allowed by this section on the tax due under this chapter. 1-14 (b) The amount of the credit allowed under this section for 1-15 each motor vehicle is equal to: 1-16 (1) for a purchase, $1500; and 1-17 (2) for a conversion, the lesser of $1500 or the 1-18 actual conversion cost. 1-19 (c) The corporation may claim the credit on the first report 1-20 due covering the business period during which the motor vehicle is 1-21 purchased or converted. 1-22 (d) A corporation may not claim for a privilege period a 1-23 credit in an amount that exceeds an amount equal to 50 percent of 2-1 the tax due by the corporation for that privilege period. A 2-2 corporation may carry the amount of unused credit forward for not 2-3 more than three consecutive privilege periods. For purposes of 2-4 this section, an initial period and a second period are considered 2-5 one privilege period. 2-6 (e) A corporation may not convey, assign, or transfer the 2-7 credit allowed under this section to another entity unless all of 2-8 the assets of the corporation are conveyed, assigned, or 2-9 transferred in the same transaction. 2-10 (f) The corporation must provide to the comptroller any 2-11 information the comptroller requires to determine the validity of 2-12 the credit claim. 2-13 SECTION 2. This Act applies to reports originally due on or 2-14 after January 1, 1994. 2-15 SECTION 3. The importance of this legislation and the 2-16 crowded condition of the calendars in both houses create an 2-17 emergency and an imperative public necessity that the 2-18 constitutional rule requiring bills to be read on three several 2-19 days in each house be suspended, and this rule is hereby suspended, 2-20 and that this Act take effect and be in force from and after its 2-21 passage, and it is so enacted.