73R7721 DAK-F
By Montford S.B. No. 82
Substitute the following for S.B. No. 82:
By Berlanga C.S.S.B. No. 82
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the administration, collection, enforcement, and
1-3 application of, and exemptions from, various taxes and fees;
1-4 creating offenses and providing penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 ARTICLE 1
1-7 SECTION 1.01. Section 101.003, Tax Code, is amended by
1-8 amending Subdivisions (8) and (11) and adding Subdivision (12) to
1-9 read as follows:
1-10 (8) "Taxpayer" means a person liable for a tax, fee,
1-11 assessment, or other amount imposed by a statute or under the
1-12 authority of a statutory function administered by the comptroller
1-13 <this title>.
1-14 (11) "Report" means a tax return, declaration,
1-15 statement, or other document required to be filed with the
1-16 comptroller <by a provision of this title>.
1-17 (12) "Obligation" means the duty of a person to pay a
1-18 tax, fee, assessment, or other amount or to make, file, or keep a
1-19 report, certificate, affidavit, or other document.
1-20 SECTION 1.02. Subchapter A, Chapter 111, Tax Code, is
1-21 amended by adding Section 111.0022 to read as follows:
1-22 Sec. 111.0022. APPLICATION TO OTHER LAWS ADMINISTERED BY
1-23 COMPTROLLER. This subtitle and Subtitle A of this title apply to
1-24 the administration, collection, and enforcement of other taxes,
2-1 fees, and charges, including penalties, or other financial
2-2 transactions, that the comptroller is required or authorized to
2-3 collect or administer under other law, to the extent that the other
2-4 law does not conflict with this subtitle or Subtitle A of this
2-5 title.
2-6 SECTION 1.03. Subsections (e), (g), and (h), Section
2-7 111.021, Tax Code, are amended to read as follows:
2-8 (e) A notice under this section that attempts to prohibit
2-9 the transfer or disposal of an asset possessed or controlled by a
2-10 bank is <not> effective if <unless> it is delivered or mailed to
2-11 the principal or any branch office of the bank,_including any <or
2-12 the> office of the bank at which the deposit is carried or the
2-13 credit or property is held.
2-14 (g) At any time during the <last 45 days of the> 60-day
2-15 period as stated in Subdivision (2) of Subsection (d) of this
2-16 section, the comptroller may levy upon the asset or debt. The levy
2-17 shall be accomplished by delivery of a notice of levy, upon receipt
2-18 of which the person possessing the asset or debt shall transfer the
2-19 asset to the comptroller or pay to the comptroller the amount owed
2-20 to the delinquent or to the person against whom the unpaid
2-21 determination is made.
2-22 (h) A notice delivered under this section is effective:
2-23 (1) at the time of delivery against all property,
2-24 rights to property, credits, and/or debts involving the delinquent
2-25 taxpayer which are not at the time of the <such> notice subject to
2-26 an attachment, garnishment, or execution issued through a judicial
2-27 process; and
3-1 (2) against all property, rights to property, credits
3-2 and/or debts involving the delinquent taxpayer that come into the
3-3 possession or control of the person served with the notice within
3-4 the 60-day period provided by Subdivision (2) of Subsection (d) of
3-5 this section.
3-6 SECTION 1.04. Section 111.051, Tax Code, is amended to read
3-7 as follows:
3-8 Sec. 111.051. REPORTS AND PAYMENTS; DUE DATES; METHOD OF
3-9 PAYMENT. (a) The comptroller may set the date for filing a report
3-10 for and making a payment of a tax imposed by this title.
3-11 (b) A date set by the comptroller under this section
3-12 prevails over a different date prescribed by this title for the
3-13 filing of a report for or the payment of a tax, except that the
3-14 comptroller may only set a report or payment date for the state
3-15 sales and use tax that conflicts with the dates prescribed by
3-16 Chapter 151 of this code in case of public calamity or natural
3-17 disaster.
3-18 (c) The comptroller may require that all payments from a
3-19 taxpayer who files tax reports monthly and remits three or more
3-20 dishonored or insufficient funds checks or drafts within a
3-21 six-month period be remitted using certified instruments. The
3-22 comptroller may require that all payments from a taxpayer who files
3-23 tax reports quarterly and remits three or more dishonored or
3-24 insufficient funds checks or drafts within an 18-month period be
3-25 remitted by using certified instruments. In this subsection,
3-26 "certified instruments" includes cashier's checks and money orders.
3-27 The comptroller shall send written notice of a payment restriction
4-1 under this subsection to the taxpayer at the business address shown
4-2 on the comptroller's records. A failure to remit a payment by a
4-3 certified instrument after imposition of the payment restriction by
4-4 the comptroller is grounds for the suspension and revocation of a
4-5 permit or license as provided by Section 111.0047 of this code.
4-6 SECTION 1.05. Section 111.201, Tax Code, is amended to read
4-7 as follows:
4-8 Sec. 111.201. ASSESSMENT AND REFUND LIMITATION. (a) No tax
4-9 imposed by this title may be assessed after four years from the
4-10 date that the tax becomes due and payable.
4-11 (b) No refund of any tax imposed by this title may be made
4-12 by the comptroller after four years after the date that the tax was
4-13 paid, except on tolling of the statute of limitations for refunds
4-14 as provided in this title. This subsection does not apply to a
4-15 credit or refund due under Section 151.427.
4-16 SECTION 1.06. Section 151.316, Tax Code, is amended to read
4-17 as follows:
4-18 Sec. 151.316. Agricultural Items. (a) The following items
4-19 are exempted from the taxes imposed by this chapter:
4-20 (1) horses, mules, and work animals;
4-21 (2) animal life the products of which ordinarily
4-22 constitute food for human consumption;
4-23 (3) feed for farm and ranch animals;
4-24 (4) feed for animals that are held for sale in the
4-25 regular course of business;
4-26 (5) seeds and annual plants the products of which:
4-27 (A) ordinarily constitute food for human
5-1 consumption;
5-2 (B) are to be sold in the regular course of
5-3 business; or
5-4 (C) are used to produce feed for animals
5-5 exempted by this section;
5-6 (6) fertilizers, fungicides, insecticides, herbicides,
5-7 defoliants, and desiccants exclusively used or employed on a farm
5-8 or ranch in the production of:
5-9 (A) food for human consumption;
5-10 (B) feed for animal life; or
5-11 (C) other agricultural products to be sold in
5-12 the regular course of business;
5-13 (7) machinery and equipment exclusively used or
5-14 employed on a farm or ranch in the building or maintaining of roads
5-15 or water facilities or in the production of:
5-16 (A) food for human consumption;
5-17 (B) grass;
5-18 (C) feed for animal life; or
5-19 (D) other agricultural products to be sold in
5-20 the regular course of business;
5-21 (8) machinery and equipment exclusively used in the
5-22 processing, packing, or marketing of agricultural products by the
5-23 original producer at a location operated by the original producer
5-24 exclusively for processing, packing, or marketing the producer's
5-25 own products; and
5-26 (9) ice exclusively used by commercial fishing boats
5-27 in the storing of aquatic species including but not limited to
6-1 shrimp, other crustaceans, finfish, mollusks, and other similar
6-2 creatures.
6-3 (b) Tangible personal property sold or used to be installed
6-4 as a component of an underground irrigation system or a system to
6-5 remove excess water from fields is exempt from the taxes imposed by
6-6 this chapter if the system is exclusively used or employed on a
6-7 farm or ranch in the production of:
6-8 (1) food for human consumption;
6-9 (2) grass;
6-10 (3) feed or forage for:
6-11 (A) animal life the products of which ordinarily
6-12 constitute food for human consumption; or
6-13 (B) horses, mules, and work animals; or
6-14 (4) other agricultural products to be sold in the
6-15 regular course of business.
6-16 SECTION 1.07. Subchapter L, Chapter 151, Tax Code, is
6-17 amended by adding Section 151.7031 to read as follows:
6-18 Sec. 151.7031. FAILURE TO REPORT ON THREE OR MORE OCCASIONS;
6-19 CIVIL PENALTY. A person who is required to file a report under
6-20 this chapter, who fails to file the report under this chapter, and
6-21 who has on two or more previous occasions failed to file a timely
6-22 report under this chapter shall pay an additional penalty of $50.
6-23 The penalty provided by this section is assessed without regard to
6-24 whether the taxpayer subsequently files the report or whether no
6-25 taxes were due from the taxpayer for the reporting period under the
6-26 required report.
6-27 SECTION 1.08. Section 151.707, Tax Code, is amended to read
7-1 as follows:
7-2 Sec. 151.707. RESALE OR EXEMPTION CERTIFICATE; CRIMINAL
7-3 PENALTY. (a) A person commits an offense if the person:
7-4 (1) intentionally or knowingly makes a false entry in,
7-5 or a fraudulent alteration of, an exemption or resale certificate;
7-6 (2) makes, presents, or uses an exemption certificate
7-7 or resale certificate with knowledge that it is false and with the
7-8 intent that it be accepted as a valid resale or exemption
7-9 certificate; or
7-10 (3) intentionally conceals, removes, or impairs the
7-11 verity or legibility of an exemption or resale certificate or
7-12 unreasonably impedes the availability of an exemption or resale
7-13 certificate <gives a resale certificate to a seller for property
7-14 that the person knows, at the time of purchase, is purchased for
7-15 the purpose of use and not for the purpose of resale, lease, or
7-16 rental by the person to another in the regular course of business
7-17 or for transfer as an integral part of a taxable service performed
7-18 in the regular course of business>.
7-19 (b) An offense under Subsection (a)(1) or (a)(2) of this
7-20 section is:
7-21 (1) a Class C misdemeanor if the tax avoided by the
7-22 use of the exemption or resale certificate is less than $20;
7-23 (2) a Class B misdemeanor if the tax avoided by the
7-24 use of the exemption or resale certificate is $20 or more, but less
7-25 than $200;
7-26 (3) a Class A misdemeanor if the tax avoided by the
7-27 use of the exemption or resale certificate is $200 or more, but
8-1 less than $750;
8-2 (4) a felony of the third degree if the tax avoided by
8-3 the use of the exemption or resale certificate is $750 or more, but
8-4 less than $20,000; or
8-5 (5) a felony of the second degree if the tax avoided
8-6 by the use of the exemption or resale certificate is $20,000 or
8-7 more. <An offense under this section is a misdemeanor punishable
8-8 by a fine of not more than $500.>
8-9 SECTION 1.09. Subchapter A, Chapter 153, Tax Code, is
8-10 amended by adding Section 153.0061 to read as follows:
8-11 Sec. 153.0061. SUMMARY SUSPENSION OF PERMIT. (a) The
8-12 comptroller may suspend a person's permit without notice or a
8-13 hearing for the person's failure to comply with this chapter or a
8-14 rule adopted under this chapter if the person's continued operation
8-15 constitutes an immediate and substantial threat to the collection
8-16 of taxes imposed by this chapter and attributable to the person's
8-17 operation.
8-18 (b) If the comptroller summarily suspends a person's permit,
8-19 proceedings for a preliminary hearing before the comptroller or the
8-20 comptroller's representative must be initiated simultaneously with
8-21 the summary suspension. The preliminary hearing shall be set for a
8-22 date not later than 10 days after the date of the summary
8-23 suspension, unless the parties agree to a later date.
8-24 (c) At the preliminary hearing, the permit holder must show
8-25 cause why the permit should not remain suspended pending a final
8-26 hearing on suspension or revocation.
8-27 (d) The Administrative Procedure and Texas Register Act
9-1 (Article 6252-13a, Vernon's Texas Civil Statutes) does not apply to
9-2 a summary suspension under this section.
9-3 (e) To initiate a proceeding to suspend summarily a person's
9-4 permit, the comptroller shall serve notice on the permit holder
9-5 informing the permit holder of the right to a preliminary hearing
9-6 before the comptroller or the comptroller's representative and of
9-7 the time and place of the preliminary hearing. The notice must be
9-8 personally served on the permit holder or an officer, employee, or
9-9 agent of the permit holder, or sent by certified or registered
9-10 mail, return receipt requested, to the permit holder's mailing
9-11 address as it appears on the comptroller's records. The notice
9-12 must state the alleged violations that constitute the grounds for
9-13 summary suspension. The suspension is effective at the time the
9-14 notice is served. If the notice is served in person, the permit
9-15 holder shall immediately surrender the permit to the comptroller or
9-16 to the comptroller's representative. If notice is served by mail,
9-17 the permit holder shall immediately return the permit to the
9-18 comptroller.
9-19 (f) Section 153.006, governing hearings for permit
9-20 cancellation or refusal to issue a permit under this chapter,
9-21 governs a final administrative hearing under this section.
9-22 SECTION 1.10. Section 153.007, Tax Code, is amended to read
9-23 as follows:
9-24 Sec. 153.007. Enforcement of Permit Cancellation,
9-25 SUSPENSION, or Refusal. (a) The comptroller may examine any books
9-26 and records incident to the conduct of the business of a person
9-27 whose permit has been canceled or suspended on the person's failure
10-1 to file the reports required by this chapter or to remit all taxes
10-2 due. The comptroller shall issue an audit deficiency determination
10-3 of the amount of delinquent taxes, penalties, and interest,
10-4 containing a demand for payment. The deficiency determination
10-5 shall provide that if neither a payment is made nor a request for a
10-6 redetermination is filed within 30 days after the date of the
10-7 notice of the deficiency, the amount of the determination becomes
10-8 due and payable. If the amount is not paid on or before the 44th
10-9 day after service of the notice of the deficiency determination,
10-10 the bond or other security required under this chapter shall be
10-11 forfeited. The demand for payment shall be addressed to both the
10-12 surety or sureties and the person who owes the delinquency.
10-13 (b) If the forfeiture of the bond or other security does not
10-14 satisfy the delinquency, the comptroller shall certify the taxes,
10-15 penalty, and interest delinquent to the attorney general, who may
10-16 file suit against the person or his surety or both to collect the
10-17 amount due. After being given notice of an order of cancellation
10-18 or summary suspension, it shall be unlawful for any person to
10-19 continue to operate his business under a canceled or suspended
10-20 permit. The attorney general may file suit to enjoin the person
10-21 from continuing to operate under his permit until the person's
10-22 permit is reissued by the comptroller.
10-23 (c) An appeal from an order of the comptroller canceling or
10-24 suspending or refusing the issuance or reissuance of a permit may
10-25 be taken to a district court of Travis County by the aggrieved
10-26 permittee or applicant. The trial shall be de novo under the same
10-27 rules as ordinary civil suits, except that:
11-1 (1) an appeal must be perfected and filed within 30
11-2 days after the effective date of the order, decision, or ruling of
11-3 the comptroller;
11-4 (2) the trial of the case shall begin within 10 days
11-5 after its filing; and
11-6 (3) the order, decision, or ruling of the comptroller
11-7 may be suspended or modified by the court pending a trial on the
11-8 merits.
11-9 SECTION 1.11. Section (1), Article 8802, Revised Statutes,
11-10 is amended to read as follows:
11-11 (1) Every "owner", save an owner holding an import license
11-12 and holding coin-operated machines solely for re-sale, who
11-13 exhibits, displays, or who permits to be exhibited or displayed in
11-14 this State any "coin-operated machine" shall pay, and there is
11-15 hereby levied on each "coin-operated machine", as defined herein in
11-16 Article 8801, except as are exempt herein, an annual occupation tax
11-17 of $60.00. The tax shall be paid to the comptroller by cashier's
11-18 check or money order. The annual tax levied by this chapter may be
11-19 collected by the comptroller on a quarterly basis. The comptroller
11-20 may establish procedures for quarterly collection and set due dates
11-21 for the tax payments. The tax due from the owner of a
11-22 coin-operated machine first exhibited or displayed in this State
11-23 later than March 31 shall be prorated on a quarterly basis, with
11-24 one-fourth of the annual tax due for each quarter or portion of a
11-25 quarter remaining in the calendar year. No refund or credit of the
11-26 annual tax levied by this chapter may be allowed to any owner who
11-27 ceases the exhibition or display of any coin-operated machine prior
12-1 to the end of any calendar year. Subtitle B, Title 2, Tax Code,
12-2 applies to the administration, collection, and enforcement of the
12-3 taxes, penalties, and interest imposed by this chapter.
12-4 SECTION 1.12. Section (2), Article 8807, Revised Statutes,
12-5 is amended to read as follows:
12-6 (2) If any individual, company, corporation or association
12-7 who owns, operates, exhibits or displays any coin-operated machine
12-8 in this State, shall violate any provision of this Chapter or any
12-9 rule and regulation promulgated hereunder, the Comptroller may
12-10 investigate the violation and may impose <seek> sanctions,
12-11 including suspension or revocation of a license, permit, or
12-12 registration certificate issued under this chapter.
12-13 SECTION 1.13. Article 8811, Revised Statutes, is amended to
12-14 read as follows:
12-15 Art. 8811. VIOLATIONS OF ACT; PENALTY; ENFORCEMENT <SUIT TO
12-16 RECOVER PENALTY>. If any "owner" of a coin-operated machine within
12-17 this State shall (a) permit any coin-operated machine under his
12-18 control to be operated, exhibited or displayed within this State
12-19 without said permit being permanently attached thereto, or (b) if
12-20 any person shall exhibit or display within this State any
12-21 coin-operated machine without having annexed or attached thereto a
12-22 permit issued by the Comptroller showing the payment of the tax due
12-23 thereon for the current year, or (c) if any person exhibits or
12-24 displays a coin-operated machine that is not registered with the
12-25 Comptroller, or (d) shall fail to keep such records, or (e) shall
12-26 refuse or fail to present such records for inspection upon the
12-27 demand of the Comptroller or an authorized representative of the
13-1 Comptroller, or (f) if any person in this State shall use any
13-2 artful device or deceptive practice to conceal any violation of
13-3 this Chapter, or (g) mislead the Comptroller or an authorized
13-4 representative of the Comptroller in the enforcement of this
13-5 Chapter, or (h) if any person in this State shall fail to comply
13-6 with the provisions of this Chapter, or violate the same, or (i) if
13-7 any person in this State shall fail to comply with the rules and
13-8 regulations promulgated by the Comptroller, or violate the same,
13-9 the Comptroller in addition to the other remedies provided in this
13-10 Chapter may assess a penalty in the sum of not less than Fifty
13-11 Dollars ($50) <Five Dollars ($5)> nor more than Two Thousand
13-12 Dollars ($2,000) <Five Hundred Dollars ($500)>. Each day's
13-13 violation shall constitute a separate offense and incur another
13-14 penalty, which, if not paid may be recovered by the Comptroller in
13-15 any manner available for the recovery of delinquent taxes under
13-16 Subtitle B, Title 2, Tax Code, or in a suit by the Attorney General
13-17 of this State in a court of competent jurisdiction in Travis
13-18 County, Texas<, or any court having jurisdiction>.
13-19 SECTION 1.14. Subdivision (2), Section 8, Article 8817,
13-20 Revised Statutes, is amended to read as follows:
13-21 (2) A person who knowingly violates Subdivision (1) of this
13-22 Section is guilty of a Class A <B> misdemeanor. A person who
13-23 knowingly secures or attempts to secure a license under this
13-24 Article by fraud, misrepresentation, or subterfuge is guilty of a
13-25 felony of the second <third> degree.
13-26 SECTION 1.15. Section 17, Article 8817, Revised Statutes, is
13-27 amended to read as follows:
14-1 Sec. 17. REMOVAL OF PERMIT PROHIBITED; PENALTY. (1) A
14-2 person may not <intentionally> remove or cause to be removed a
14-3 current tax permit from a music or skill or pleasure coin-operated
14-4 machine.
14-5 (2) A person who violates this Section is guilty of a Class
14-6 B <C> misdemeanor.
14-7 SECTION 1.16. Subdivision (1), Section 20, Article 8817,
14-8 Revised Statutes, is amended to read as follows:
14-9 (1) The Comptroller may refuse to issue or renew a license
14-10 or registration certificate or may revoke or suspend a license or
14-11 registration certificate issued pursuant to the authority of this
14-12 Article if:
14-13 (a) the licensee or applicant has <intentionally>
14-14 violated a provision of this Article or a regulation promulgated
14-15 pursuant to the authority of this Article;
14-16 (b) the licensee or applicant has <intentionally>
14-17 failed to answer a question, or <intentionally> made a false
14-18 statement in, or in connection with, his application or renewal;
14-19 (c) the licensee or applicant extends credit without
14-20 registering his intent to do so with the consumer credit
14-21 commission;
14-22 (d) the licensee or applicant uses coercion to
14-23 accomplish a purpose or to engage in conduct regulated by the
14-24 Comptroller;
14-25 (e) a contract or agreement between the licensee or
14-26 applicant and a location owner contains a restriction, of any kind
14-27 and to any degree, on the right of the location owner to purchase,
15-1 agree to purchase, or use a product, commodity, or service not
15-2 regulated under the terms of this Article; or
15-3 (f) failure to suspend or revoke the license would be
15-4 contrary to the intent and purpose of this Article.
15-5 SECTION 1.17. Article 8817, Revised Statutes, is amended by
15-6 adding Section 27 to read as follows:
15-7 Sec. 27. SUITS BY ATTORNEY GENERAL. (1) On request by the
15-8 Comptroller, the Attorney General may file suit for an injunction
15-9 prohibiting a person from engaging in business to manufacture, own,
15-10 buy, sell, or rent, lease, trade, lend, or furnish to another, or
15-11 repair, maintain, service, transport within the state, store, or
15-12 import a music coin-operated machine or a skill or pleasure
15-13 coin-operated machine without a license or registration certificate
15-14 issued under this Article.
15-15 (2) The district courts of Travis County, Texas, have
15-16 exclusive, original jurisdiction of a suit brought under this
15-17 section.
15-18 SECTION 1.18. The following provisions of the Tax Code are
15-19 repealed:
15-20 (1) Section 151.502; and
15-21 (2) Section 151.706.
15-22 SECTION 1.19. This article takes effect September 1, 1993,
15-23 and applies to the collection and enforcement of taxes imposed
15-24 before, on, or after the effective date of this article.
15-25 ARTICLE 2
15-26 SECTION 2.01. Subchapter F, Chapter 153, Tax Code, is
15-27 amended by adding Section 153.5015 to read as follows:
16-1 Sec. 153.5015. DELAY IN ALLOCATION OF TAXES.
16-2 (a) Notwithstanding any other law, the comptroller shall allocate
16-3 and deposit as soon as practicable after September 5, 1995, and no
16-4 later than September 10, 1995:
16-5 (1) the unclaimed refunds of gasoline taxes under
16-6 Section 153.502 for June, July, and August, 1995;
16-7 (2) the gasoline taxes collected under Subchapter B
16-8 for June, July, and August, 1995;
16-9 (3) the diesel fuel taxes collected under Subchapter C
16-10 for June, July, and August, 1995; and
16-11 (4) the liquefied gas taxes collected under Subchapter
16-12 D for June, July, and August, 1995.
16-13 (b) This section expires October 1, 1995.
16-14 SECTION 2.02. This article takes effect September 1, 1993.
16-15 ARTICLE 3
16-16 SECTION 3.01. Chapter 31, Human Resources Code, is amended
16-17 by adding Subchapter D to read as follows:
16-18 SUBCHAPTER D. TAX REFUND FOR WAGES PAID TO EMPLOYEE
16-19 RECEIVING FINANCIAL ASSISTANCE
16-20 Sec. 31.071. DEFINITION. In this subchapter, "wages" has
16-21 the meaning assigned by Sections 51(c)(1), (2), and (3), Internal
16-22 Revenue Code of 1986 (26 U.S.C. Section 51).
16-23 Sec. 31.072. TAX REFUND VOUCHER. (a) The department shall
16-24 issue a tax refund voucher in the amount allowed by this subchapter
16-25 and subject to the restrictions imposed by this subchapter to a
16-26 person that meets the eligibility requirements under this
16-27 subchapter.
17-1 (b) A person issued a tax refund voucher may, subject to the
17-2 provisions of this subchapter, apply for the amount of the refund
17-3 of a tax that is paid by the person to this state if the tax is
17-4 administered by the comptroller and deposited to the credit of the
17-5 general revenue fund without dedication.
17-6 Sec. 31.073. AMOUNT OF REFUND; LIMITATION. (a) The amount
17-7 of the refund allowed under this subchapter is equal to 20 percent
17-8 of the total wages, up to a maximum of $10,000 in wages for each
17-9 employee, paid or incurred by a person for services rendered by an
17-10 employee of the person during the period beginning with the date
17-11 the employee begins work for the person and ending on the first
17-12 anniversary of that date.
17-13 (b) The refund claimed for a calendar year may not exceed
17-14 the amount of net tax paid by the person to this state, after any
17-15 other applicable tax credits, in that calendar year.
17-16 Sec. 31.074. ELIGIBILITY. A person is eligible for the
17-17 refund for wages paid or incurred by the person, during each
17-18 calendar year for which the refund is claimed, only if:
17-19 (1) the wages paid or incurred by the person are for
17-20 services of an employee who is:
17-21 (A) a resident of this state; and
17-22 (B) a recipient of financial assistance and
17-23 services in accordance with this chapter;
17-24 (2) the person satisfies the certification
17-25 requirements under Section 31.075; and
17-26 (3) the person provides and pays for the benefit of
17-27 the employee at least 80 percent of the cost of major medical
18-1 health insurance coverage that provides for:
18-2 (A) a maximum $300 deductible to the employee;
18-3 and
18-4 (B) payment by the insurance provider of at
18-5 least 70 percent of insurance claims during the claim year in
18-6 excess of the deductible.
18-7 Sec. 31.075. CERTIFICATION. A person is not eligible for
18-8 the refund for wages paid or incurred by the person unless the
18-9 person has received a written certification from the appropriate
18-10 state agency responsible for certification that the employee is a
18-11 recipient of financial assistance and services on or before the day
18-12 the employee begins employment with the person.
18-13 Sec. 31.076. APPLICATION FOR REFUND; ISSUANCE. (a) A
18-14 person may apply for a tax refund voucher for wages paid an
18-15 employee in a calendar year only on or after January 1 and before
18-16 April 1 of the following calendar year.
18-17 (b) The department shall promulgate a form for the
18-18 application for the tax refund voucher. A person must use this
18-19 form in applying for the refund.
18-20 (c) On issuance of the tax refund voucher to the person by
18-21 the department, the person may apply the voucher against a tax paid
18-22 by the person to this state only for the calendar year for which
18-23 the voucher is issued.
18-24 SECTION 3.02. Subchapter C, Chapter 111, Tax Code, is
18-25 amended by adding Section 111.109 to read as follows:
18-26 Sec. 111.109. TAX REFUND FOR WAGES PAID TO EMPLOYEE
18-27 RECEIVING AID TO FAMILIES WITH DEPENDENT CHILDREN. The comptroller
19-1 shall issue a refund for a tax paid by a person to this state in
19-2 the amount of a tax refund voucher issued by the Texas Department
19-3 of Human Services under Subchapter D, Chapter 31, Human Resources
19-4 Code, subject to the provisions of that subchapter.
19-5 SECTION 3.03. (a) This article takes effect January 1,
19-6 1994.
19-7 (b) A person may claim the refund under Subchapter D,
19-8 Chapter 31, Human Resources Code, as added by this article, only
19-9 for any wages paid or incurred on or after the effective date of
19-10 this article and only on a tax due on or after that date.
19-11 ARTICLE 4
19-12 SECTION 4.01. Article 9.46, Insurance Code, is amended to
19-13 read as follows:
19-14 Art. 9.46. MAINTENANCE FEE; DISPOSITION OF UNEXPENDED
19-15 BALANCE <TAX ON GROSS PREMIUMS>. The State of Texas by and through
19-16 the State Board of Insurance shall charge an annual maintenance
19-17 fee necessary to pay the expenses of the regulation of title
19-18 insurers and title insurance agents during the succeeding year.
19-19 The State Board of Insurance shall determine the rate of assessment
19-20 and collect a maintenance fee in an amount not to exceed one
19-21 percent of all amounts defined to be premium in this chapter. This
19-22 fee is not a tax and shall be reported and paid separately from
19-23 premium and retaliatory taxes <annually determine the rate of
19-24 assessment on an annual or semiannual basis, as determined by the
19-25 Board, and collect a maintenance tax in an amount not to exceed one
19-26 percent of the correctly reported gross title insurance premiums of
19-27 all authorized insurers writing title insurance in this state. The
20-1 tax required by this article is in addition to all other taxes now
20-2 imposed or that may be subsequently imposed and that are not in
20-3 conflict with this article>. The State Board of Insurance, after
20-4 taking into account the unexpended funds produced by this fee
20-5 <tax>, if any, shall adjust the rate of assessment each year to
20-6 produce the amount of funds that it estimates will be necessary to
20-7 pay all the expenses of regulating title insurance during the
20-8 succeeding year. The fees <taxes> collected shall be deposited in
20-9 the State Treasury to the credit of the State Board of Insurance
20-10 operating fund and shall be spent as authorized by legislative
20-11 appropriation only on warrants issued by the comptroller of public
20-12 accounts pursuant to duly certified requisitions of the State Board
20-13 of Insurance. The fee is included in the division of premiums and
20-14 shall not be separately charged to the title insurance agent. The
20-15 State Board of Insurance shall <may elect to> collect on a
20-16 semiannual basis the fee <tax> assessed under this article only
20-17 from insurers whose <tax> liability under this article for the
20-18 previous <tax> year was $2,000 or more. The State Board of
20-19 Insurance may prescribe and adopt reasonable rules to implement
20-20 such payments as it deems advisable, not inconsistent with this
20-21 article.
20-22 SECTION 4.02. This article takes effect September 1, 1993.
20-23 ARTICLE 5
20-24 SECTION 5.01. Subchapter J, Chapter 403, Government Code, is
20-25 amended by adding Section 403.2015 to read as follows:
20-26 Sec. 403.2015. INCLUSION OF PENALTY AND INTEREST. In this
20-27 subchapter, "tax" and "fee" include an assessment, tax, or fee, and
21-1 the penalty and interest computed by reference to the amount of the
21-2 assessment, tax, or fee.
21-3 SECTION 5.02. Section 403.202(a), Government Code, is
21-4 amended to read as follows:
21-5 (a) If a person who is required to pay to any department of
21-6 the state government an occupation, excise, gross receipts,
21-7 franchise, license, or privilege tax or fee, including a local tax
21-8 collected by the comptroller but not including <other than a tax or
21-9 fee to which Subchapter B, Chapter 112, Tax Code, applies or> a tax
21-10 or other amount imposed under the Texas Unemployment Compensation
21-11 Act (Article 5221b-1 et seq., Vernon's Texas Civil Statutes),
21-12 contends that the tax or fee is unlawful or that the department may
21-13 not legally demand or collect the tax or fee, the person shall pay
21-14 the amount claimed by the state, and if the person intends to bring
21-15 suit under this subchapter, the person must submit with the payment
21-16 a protest.
21-17 SECTION 5.03. Sections 403.203(a) and (b), Government Code,
21-18 are amended to read as follows:
21-19 (a) A person may bring suit against the state to recover an
21-20 occupation, excise, gross receipts, franchise, license, or
21-21 privilege tax or fee covered by this subchapter and required to be
21-22 paid to the state if the person has first paid the tax under
21-23 protest as required by Section 403.202.
21-24 (b) A suit under this section must be brought before the
21-25 91st day after the day the protest payment was made, or the suit is
21-26 barred, except that:
21-27 (1)<; provided that> with respect to any tax or fee
22-1 assessed annually but that is required to be paid in installments,
22-2 the protest required by Section 403.202 may be filed with the final
22-3 annual return and suit for the recovery for any such installment
22-4 may be filed within 90 days after the final annual return is due;
22-5 and
22-6 (2) for the tax imposed by Chapter 171, Tax Code, for
22-7 a regular annual period, if an extension is granted to the taxpayer
22-8 under Section 171.202(c), Tax Code, for filing the report:
22-9 (A) if the taxpayer files the report on or
22-10 before the last date of the extension period, the protest required
22-11 by Section 403.202 may be filed with the report to cover the entire
22-12 amount of tax paid for the period, and suit for the recovery of the
22-13 entire amount of tax paid for the period may be filed before the
22-14 91st day after the date the report is filed; and
22-15 (B) if the report is not filed on or before the
22-16 last date of the extension period, a protest filed with the report
22-17 applies only to the amount of tax, if any, paid when the report is
22-18 filed.
22-19 SECTION 5.04. Sections 403.212(a) and (d), Government Code,
22-20 are amended to read as follows:
22-21 (a) An action for a restraining order or injunction that
22-22 prohibits the assessment or collection of a state tax, or a local
22-23 tax collected by the comptroller; license, registration, or filing
22-24 fee; or statutory penalty assessed for the failure to pay the state
22-25 tax or fee or local tax collected by the comptroller may not be
22-26 brought against a state official or a representative of an official
22-27 in this state unless the applicant for the order or injunction has
23-1 first:
23-2 (1) filed with the attorney general not later than the
23-3 fifth day before the date the action is filed a statement of the
23-4 grounds on which the order or injunction is sought; and
23-5 (2) either:
23-6 (A) paid to the state official who collects the
23-7 tax or fee all taxes, fees, and penalties then due by the applicant
23-8 to the state; or
23-9 (B) filed with the state official who collects
23-10 the tax or fee a good and sufficient bond to guarantee the payment
23-11 of the taxes, fees, and penalties in an amount equal to twice the
23-12 amount of the taxes, fees, and penalties then due and that may
23-13 reasonably be expected to become due during the period the order or
23-14 injunction is in effect.
23-15 (d) A state official who receives a payment or bond under
23-16 Subsection (a)(2) shall deliver the payment or bond to the
23-17 treasurer. The treasurer shall deposit a payment made under
23-18 Subsection (a)(2)(A) to the credit of each fund to which the tax,
23-19 fee, or penalty is allocated by law <into the suspense account of
23-20 the treasurer>.
23-21 SECTION 5.05. The chapter heading for Chapter 112, Tax Code,
23-22 and Subchapter D, Chapter 112, Tax Code, are amended to read as
23-23 follows:
23-24 CHAPTER 112. TAXPAYERS' SUITS <SUBCHAPTER D. SUIT>
23-25 FOR TAX REFUND
23-26 Sec. 112.001 <112.151>. Suit for Refund. (a) A person may
23-27 sue the comptroller to recover an amount of tax, penalty, or
24-1 interest that has been the subject of a tax refund claim if the
24-2 person has:
24-3 (1) filed a tax refund claim under Section 111.104 of
24-4 this code;
24-5 (2) filed, as provided by Section 111.105 of this
24-6 code, a motion for rehearing that has been denied by the
24-7 comptroller; and
24-8 (3) paid any additional tax found due in a jeopardy or
24-9 deficiency determination that applies to the tax liability period
24-10 covered in the tax refund claim.
24-11 (b) The suit must be brought against both the comptroller
24-12 and the attorney general and must be filed in a district court.
24-13 (c) The suit must be filed before the expiration of 30 days
24-14 after the issue date of the denial of the motion for rehearing or
24-15 it is barred.
24-16 (d) The amount of the refund sought must be set out in the
24-17 original petition. A copy of the motion for rehearing filed under
24-18 Section 111.105 of this code must be attached to the original
24-19 petition filed with the court and to the copies of the original
24-20 petition served on the comptroller and the attorney general.
24-21 (e) A person may not intervene in the suit.
24-22 (f) A person may sue the treasurer to recover an amount of a
24-23 tax, penalty, or interest that has been the subject of a refund
24-24 claim filed with the treasurer as authorized by Section 111.1041.
24-25 All the provisions of this chapter <subchapter> applicable to a
24-26 suit brought against the comptroller under this section apply in
24-27 the same manner to a suit brought against the treasurer under this
25-1 section.
25-2 Sec. 112.002 <112.1512>. Counterclaim. The state may bring
25-3 a counterclaim in a suit brought under this chapter <subchapter> if
25-4 the counterclaim relates to taxes or fees imposed under the same
25-5 statute and during the same period as the taxes or fees that are
25-6 the subject of the suit and if the counterclaim is filed not later
25-7 than the 30th day before the date set for trial on the merits of
25-8 the suit. The state is not required to make an assessment of the
25-9 taxes or fees subject to the counterclaim under any other statute,
25-10 and the period of limitation applicable to an assessment of the
25-11 taxes or fees does not apply to a counterclaim brought under this
25-12 section.
25-13 Sec. 112.003 <112.152>. Issues in Suit. (a) The grounds of
25-14 error contained in the motion for rehearing are the only issues
25-15 that may be raised in a suit under this chapter <subchapter>.
25-16 (b) The suit applies only to a tax liability period
25-17 considered in the comptroller's decision.
25-18 Sec. 112.004 <112.153>. Attorney General to Represent
25-19 Comptroller. The attorney general shall represent the comptroller
25-20 in a suit under this chapter <subchapter>.
25-21 Sec. 112.005 <112.154>. Trial De Novo. In a suit under this
25-22 chapter <subchapter>, the issues shall be tried de novo as are
25-23 other civil cases.
25-24 Sec. 112.006 <112.155>. Judgment. (a) The amount of a
25-25 judgment for the plaintiff shall be credited against any tax,
25-26 penalty, or interest imposed by this title or by Section 81.111,
25-27 Natural Resources Code, and due from the plaintiff.
26-1 (b) The remainder of the amount of a judgment not credited
26-2 to a tax, penalty, or interest due shall be refunded to the
26-3 plaintiff.
26-4 (c) The plaintiff is entitled to interest on the amount of
26-5 tax included in a judgment for the plaintiff equal to the amount of
26-6 interest that would be due if the tax had been deposited in the
26-7 suspense account of the treasurer. The interest accrues beginning
26-8 from the date that the tax was paid until:
26-9 (1) the date that the amount is credited against the
26-10 plaintiff's tax liability; or
26-11 (2) a date determined by the comptroller that is not
26-12 sooner than 10 days before the actual date on which a refund
26-13 warrant is issued.
26-14 Sec. 112.007 <112.156>. Res Judicata. The rule of res
26-15 judicata applies in a suit under this chapter <subchapter> only if
26-16 the issues and the tax liability periods in controversy are the
26-17 same as were decided in a previous final judgment entered in a
26-18 Texas court of record in a suit between the same parties.
26-19 SECTION 5.06. Section 111.107, Tax Code, is amended to read
26-20 as follows:
26-21 Sec. 111.107. When Refund or Credit is Permitted. A person
26-22 may request a refund or a credit or the comptroller may make a
26-23 refund or issue a credit for the overpayment of a tax imposed by
26-24 this title at any time before the expiration of the period during
26-25 which the comptroller may assess a deficiency for the tax and not
26-26 thereafter unless the refund or credit is requested:
26-27 (1) under Subchapter J, <B of> Chapter 403, Government
27-1 Code, <112 of this code> and the refund is made or the credit is
27-2 issued under a court order;
27-3 (2) under the provision of Section 111.104(c)(3)
27-4 applicable to a refund claim filed after a jeopardy or deficiency
27-5 determination becomes final; or
27-6 (3) under Chapter 153 of this code.
27-7 SECTION 5.07. (a) Subchapters A-C, Chapter 112, Tax Code,
27-8 are repealed.
27-9 (b) Section 403.212(e), Government Code, is repealed.
27-10 SECTION 5.08. (a) On the effective date of this article,
27-11 the state treasurer shall transfer all protested or contested
27-12 amounts received under former Subchapters A-C, Chapter 112, Tax
27-13 Code, or under Section 403.212(d), Government Code, that are in a
27-14 suspense account, including accrued interest on the amounts, to the
27-15 credit of each appropriate fund to which the taxes, fees, or
27-16 penalties being protested or contested are allocated by law.
27-17 Subchapter J, Chapter 403, Government Code, applies to amounts
27-18 transferred under this subsection.
27-19 (b) The changes in law made by this article do not affect
27-20 the duty of the State Board of Insurance to keep detailed records
27-21 under former Sections 112.058(b) and (c), Tax Code, and the former
27-22 law is continued in effect for that purpose.
27-23 (c) This article takes effect September 1, 1993.
27-24 ARTICLE 6
27-25 SECTION 6.01. The importance of this legislation and the
27-26 crowded condition of the calendars in both houses create an
27-27 emergency and an imperative public necessity that the
28-1 constitutional rule requiring bills to be read on three several
28-2 days in each house be suspended, and this rule is hereby suspended.