By Horn                                               H.B. No. 1550
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the imposition and collection of sales tax from a staff
    1-3  leasing service company.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Subchapter C, Chapter 151, Tax Code is amended by
    1-6  amending Section 151.057 to read as follows:
    1-7        Sec. 151.057.  Services by Employees.  A service performed by
    1-8  an employee for his employer in the regular course of business,
    1-9  within the scope of the employee's duties, and for which the
   1-10  employee is paid his regular wages or salary, or a service
   1-11  performed by an employee of a staff leasing service company
   1-12  licensed pursuant to article 9104, V.A.T.S. or temporary help
   1-13  service for an employer to replace or supplement the employer's
   1-14  <existing> work force <on a temporary basis>, when the service <is
   1-15  normally> was formally performed by the employer's own employees,
   1-16  the employer provides all supplies and equipment necessary, and the
   1-17  help is under the direct or general supervision of the employer or
   1-18  a principal of the employer to whom the help is furnished, is not
   1-19  taxable under this chapter.  A principal shall include any officer
   1-20  or owner of the employer to whom the service is furnished.
   1-21        SECTION 2.  This Act takes effect September 1, 1995.
   1-22        SECTION 3.  The importance of this legislation and the
   1-23  crowded condition of the calendars in both houses create an
    2-1  emergency and an imperative public necessity that the
    2-2  constitutional rule requiring bills to be read on three several
    2-3  days in each house by suspended, and this rule is hereby suspended.