By Pitts H.B. No. 1335
74R4842 CBH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the eligibility for a franchise tax exemption of a
1-3 credit union that accepts a member who is not included in the
1-4 credit union's definable community of interest.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 171.077, Tax Code, is amended to read as
1-7 follows:
1-8 Sec. 171.077. EXEMPTION--CREDIT UNION. (a) Except as
1-9 provided by Subsection (b), a <A> credit union incorporated under
1-10 the Texas Credit Union Act (Article 2461-1.01 et seq., Vernon's
1-11 Texas Civil Statutes) is exempted from the franchise tax.
1-12 (b) A credit union is eligible for the exemption provided by
1-13 Subsection (a) only if:
1-14 (1) the credit union's definable community of
1-15 interest, as prescribed by the credit union's articles of
1-16 incorporation or bylaws, is occupational and limited to a single
1-17 employer; and
1-18 (2) the credit union does not accept a member who does
1-19 not share that definable community of interest.
1-20 SECTION 2. This Act takes effect September 1, 1995, and
1-21 applies to credit union membership that begins on or after that
1-22 date. A credit union membership that begins before the effective
1-23 date of this Act is governed by the law in effect when that
1-24 membership began, and that law is continued in effect for that
2-1 purpose.
2-2 SECTION 3. The importance of this legislation and the
2-3 crowded condition of the calendars in both houses create an
2-4 emergency and an imperative public necessity that the
2-5 constitutional rule requiring bills to be read on three several
2-6 days in each house be suspended, and this rule is hereby suspended.