By Counts                                             H.B. No. 1532
       74R5590 JD-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the ad valorem taxation of implements of husbandry held
    1-3  by a dealer.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 23.12A(a), Tax Code, is amended by
    1-6  amending Subdivisions (1), (2), and (5) and adding Subdivision (8)
    1-7  to read as follows:
    1-8              (1)  "Applicable inventory" means an inventory that is
    1-9  held for resale and that consists of individual units of personal
   1-10  property, each unit of which:
   1-11                    (A)  must, as a matter of law, be titled in the
   1-12  name of the retail purchaser and be registered with the Texas
   1-13  Department of Transportation through the office of the county tax
   1-14  assessor-collector; or
   1-15                    (B)  is an implement of husbandry.
   1-16              (2)  "Dealer" means a person who:
   1-17                    (A)  holds a dealer's general distinguishing
   1-18  number issued by the Texas Department of Transportation under the
   1-19  authority of Article 6686, Revised Statutes; or
   1-20                    (B)  is engaged in the business of selling
   1-21  implements of husbandry.
   1-22              (5)  "Sales price" means the total amount of money paid
   1-23  or to be paid to a dealer for the purchase of:
   1-24                    (A)  a motor vehicle as set forth in the form
    2-1  entitled "Application for Texas Certificate of Title" promulgated
    2-2  by the Texas Department of Transportation; or
    2-3                    (B)  an implement of husbandry.
    2-4              (8)  "Implement of husbandry" has the meaning assigned
    2-5  that term by Section 1, Chapter 88, General Laws, Acts of the 41st
    2-6  Legislature, 2nd Called Session, 1929 (Article 6675a-1, Vernon's
    2-7  Texas Civil Statutes).
    2-8        SECTION 2.  Section 23.12B(k), Tax Code, is amended to read
    2-9  as follows:
   2-10        (k)  Not later than February 1 of each year, or, in the case
   2-11  of an owner who was not in business on January 1, not later than 30
   2-12  days after commencement of business, each owner shall file a
   2-13  special inventory declaration with the chief appraiser and file a
   2-14  copy with the county tax assessor-collector.  The declaration is
   2-15  sufficient to comply with this subsection if it sets forth the
   2-16  following information:
   2-17              (1)  the name and business address of each location at
   2-18  which the owner conducts business;
   2-19              (2)  each of the owner's general distinguishing
   2-20  numbers, if the owner is a dealer described by Section
   2-21  23.12A(a)(2)(A) of this code and has a general distinguishing
   2-22  number issued by the Texas Department of Transportation;
   2-23              (3)  a statement that the owner is the owner of a
   2-24  special inventory; and
   2-25              (4)  the market value of the inventory for the current
   2-26  tax year as computed under Section 23.12A(b) of this code.
   2-27        SECTION 3.  (a)  This Act takes effect January 1, 1996.
    3-1        (b)  The market value of an inventory of implements of
    3-2  husbandry for purposes of 1996 ad valorem taxation is determined
    3-3  under Section 23.12A, Tax Code, as amended by this Act, using total
    3-4  annual sales or other applicable sales data of that inventory for
    3-5  the 1995 calendar year.
    3-6        SECTION 4.  The importance of this legislation and the
    3-7  crowded condition of the calendars in both houses create an
    3-8  emergency and an imperative public necessity that the
    3-9  constitutional rule requiring bills to be read on three several
   3-10  days in each house be suspended, and this rule is hereby suspended.