74R11789 DAK-F
By Montford S.B. No. 640
Substitute the following for S.B. No. 640:
By Holzheauser C.S.S.B. No. 640
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the imposition, collection, and enforcement of taxes;
1-3 providing penalties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 111.010(c), Tax Code, is amended to read
1-6 as follows:
1-7 (c) Venue for and jurisdiction of a suit arising under this
1-8 section is exclusively conferred upon the district courts of Travis
1-9 County.
1-10 SECTION 2. Section 111.060(c), Tax Code, is amended to read
1-11 as follows:
1-12 (c) Subsection (b) of this section does not apply to the
1-13 taxes imposed by Chapters 152 and 211 of this code or under an
1-14 agreement made under Section 153.017 of this code.
1-15 SECTION 3. Section 111.101, Tax Code, is amended to read as
1-16 follows:
1-17 Sec. 111.101. Settlement Before Redetermination.
1-18 <(a)> After the comptroller examines a taxpayer's records and
1-19 before a petition for redetermination of the tax is filed, the
1-20 comptroller may settle a claim for a tax, penalty, or interest
1-21 imposed by this title if the cost of collection of the amount due
1-22 would exceed the amount of tax due and if the amount due is not
1-23 more than $300.
1-24 <(b) A settlement under this section is not effective unless
2-1 it is approved by the assistant comptroller for legal services.>
2-2 SECTION 4. Section 111.201, Tax Code, is amended to read as
2-3 follows:
2-4 Sec. 111.201. ASSESSMENT <AND REFUND> LIMITATION. <(a)> No
2-5 tax imposed by this title may be assessed after four years from the
2-6 date that the tax becomes due and payable.
2-7 <(b) No refund of any tax imposed by this title may be made
2-8 by the comptroller after four years after the date that the tax was
2-9 paid, except on tolling of the statute of limitations for refunds
2-10 as provided in this title.>
2-11 SECTION 5. Sections 151.0047 and 151.0048, Tax Code, are
2-12 amended to read as follows:
2-13 Sec. 151.0047. "REAL PROPERTY REPAIR AND REMODELING". (a)
2-14 "Real property repair and remodeling" means the repair,
2-15 restoration, remodeling, or modification of an improvement to real
2-16 property other than:
2-17 (1) a structure or separate part of a structure used
2-18 as a residence; <or>
2-19 (2) an improvement immediately adjacent to a structure
2-20 described by Subdivision (1) of this section and used in the
2-21 residential occupancy of the structure or separate part of the
2-22 structure by the person using the structure or part as a residence;
2-23 or
2-24 (3) an improvement to a manufacturing or processing
2-25 production unit in a petrochemical refinery or chemical plant that
2-26 provides increased capacity in the production unit.
2-27 (b) In this section:
3-1 (1) "Increased capacity" means the capability to
3-2 produce:
3-3 (A) additional products or services as measured
3-4 by units per hour or units per year; or
3-5 (B) a new produce or service.
3-6 (2) "Production unit" means a group of manufacturing
3-7 and processing machines and ancillary equipment that together are
3-8 necessary to create or produce a physical or chemical change
3-9 beginning with the first processing of the raw material and ending
3-10 with the finished product.
3-11 Sec. 151.0048. Real Property Service. (a) Except as
3-12 provided by Subsection (b), "real <"Real> property service" means:
3-13 (1) landscaping;
3-14 (2) the care and maintenance of lawns, yards, or
3-15 ornamental trees or other plants;
3-16 (3) the removal or collection of garbage, rubbish, or
3-17 other solid waste other than:
3-18 (A) hazardous waste;
3-19 (B) industrial solid waste;
3-20 (C) waste material that results from an activity
3-21 associated with the exploration, development, or production of oil,
3-22 gas, geothermal resources, or any other substance or material
3-23 regulated by the Railroad Commission of Texas under Section 91.101,
3-24 Natural Resources Code;
3-25 (D) domestic sewage or an irrigation return
3-26 flow, to the extent the sewage or return flow does not constitute
3-27 garbage or rubbish; and
4-1 (E) industrial discharges subject to regulation
4-2 by permit issued pursuant to Chapter 26, Water Code;
4-3 (4) building or grounds cleaning, janitorial, or
4-4 custodial services;
4-5 (5) a structural pest control service covered by
4-6 Section 2, Texas Structural Pest Control Act (Article 135b-6,
4-7 Vernon's Texas Civil Statutes); or
4-8 (6) the surveying of real property.
4-9 (b) "Real property service" does not include a service
4-10 listed under Subsection (a) if the service is purchased by a
4-11 contractor as part of the improvement of real property with a new
4-12 structure to be used as a residence or other improvement
4-13 immediately adjacent to the new structure and used in the
4-14 residential occupancy of the structure.
4-15 (c) In this section, "contractor" means a person who makes
4-16 an improvement on real estate and who, as a necessary or incidental
4-17 part of the service, incorporates tangible personal property into
4-18 the property improved.
4-19 SECTION 6. Section 151.154, Tax Code, is amended to read as
4-20 follows:
4-21 Sec. 151.154. Resale Certificate: Liability of Purchaser.
4-22 (a) If a purchaser who gives a resale certificate makes any use of
4-23 the taxable item <tangible personal property> other than retention,
4-24 demonstration, or display while holding it for sale, lease, or
4-25 rental in the regular course of business or for transfer as an
4-26 integral part of a taxable service in the regular course of
4-27 business, the purchaser shall be liable for payment of the sales
5-1 tax on the <fair market rental> value of the taxable item for any
5-2 period during which the taxable item <tangible personal property>
5-3 is used other than for retention, demonstration, or display.
5-4 (b) The value of an item of tangible personal property is
5-5 the <The> fair market rental value of the tangible personal
5-6 property, which is the amount that a purchaser would pay on the
5-7 open market to rent or lease the tangible personal property for his
5-8 use. The value of a taxable service is the fair market value of
5-9 the taxable service, which is the amount that a purchaser would pay
5-10 on the open market to obtain the service for the use of the
5-11 purchaser.
5-12 (c) If an <the> item of tangible personal property has no
5-13 fair market rental value or if a taxable service has no fair market
5-14 value, the original purchase price shall be the measure of the tax.
5-15 (d) At any time, the person making the divergent use may
5-16 cease paying tax on the fair market rental value or fair market
5-17 value and may pay sales tax on the original purchase price without
5-18 credit for taxes previously paid <on the fair market rental value>.
5-19 (e) <(b)> A purchaser of a taxable item <tangible personal
5-20 property> who gives a resale certificate is not liable for the tax
5-21 imposed by this chapter if he donates the item <property> to an
5-22 organization exempted under Section 151.309 or 151.310(a)(1) or (2)
5-23 of this code; except that any use by the purchaser of the taxable
5-24 item <property> other than retention, demonstration, or display
5-25 shall be subject to taxes imposed by <Subsection (a) of> this
5-26 section.
5-27 SECTION 7. Section 151.155, Tax Code, is amended to read as
6-1 follows:
6-2 Sec. 151.155. Exemption Certificate. (a) If a purchaser
6-3 certifies in writing to a seller that a taxable item sold, leased,
6-4 or rented to the purchaser will be used in a manner or for a
6-5 purpose that qualifies the sale of the item for an exemption from
6-6 the taxes imposed by this chapter, and if the purchaser then uses
6-7 the item in some other manner or for some other purpose, the
6-8 purchaser is liable for the payment of the sales tax on the <fair
6-9 market rental> value of the taxable item for any period during
6-10 which the item is used in the divergent manner or for the divergent
6-11 purpose.
6-12 (b) The value of an item of tangible personal property is
6-13 the fair market rental value of tangible personal property, which
6-14 is the amount that a purchaser would pay on the open market to rent
6-15 or lease the property for his use. The value of a taxable service
6-16 is the fair market value of the taxable service, which is the
6-17 amount that a purchaser would pay on the open market to obtain the
6-18 service for the use of the purchaser.
6-19 (c) If an <the> item of tangible personal property has no
6-20 fair market rental value or if a taxable service has no fair market
6-21 value, the original purchase price shall be the measure of tax.
6-22 (d) At any time, the person making the divergent use may
6-23 cease paying tax on the fair market rental value or fair market
6-24 value and may pay sales tax on the original purchase price without
6-25 credit for taxes previously paid <on the fair market rental value>.
6-26 (e) <(b)> A purchaser of a taxable item <tangible personal
6-27 property> who gives an exemption certificate is not liable for the
7-1 tax imposed by this chapter if he donates the taxable item
7-2 <property> to an organization exempted under Section 151.309 or
7-3 151.310(a)(1) or (2) of this code; except that any use by the
7-4 purchaser of the taxable item <property> other than retention,
7-5 demonstration, or display shall be subject to taxes imposed by
7-6 <Subsection (a) of> this section.
7-7 SECTION 8. Section 151.157(f), Tax Code, is amended to read
7-8 as follows:
7-9 (f) The comptroller may suspend or revoke a license issued
7-10 under this section for good cause. The comptroller may determine
7-11 the length of suspension or revocation necessary for the
7-12 enforcement of this chapter and the comptroller's rules. A
7-13 proceeding to suspend or revoke a license under this subsection is
7-14 a contested case under Chapter 2001, Government Code <the
7-15 Administrative Procedure and Texas Register Act (Article 6252-13a,
7-16 Vernon's Texas Civil Statutes)>. Judicial review is by trial de
7-17 novo. The district courts of Travis County have exclusive original
7-18 jurisdiction of a suit under this section.
7-19 SECTION 9. Section 151.3111(b), Tax Code, is amended to read
7-20 as follows:
7-21 (b) Subsection (a) of this section does not apply to the
7-22 performance of a service on:
7-23 (1) tangible personal property that would be exempted
7-24 solely because of the exempt status of the seller of the property;
7-25 (2) tangible personal property that is exempted solely
7-26 because of the application of Section 151.303, 151.304, or 151.306
7-27 of this code;
8-1 (3) motor vehicles, trailers, or semitrailers as
8-2 defined, taxed, or exempted by Chapter 152 of this code; <or>
8-3 (4) a taxable boat or motor as defined by Section
8-4 160.001; or
8-5 (5) machinery and equipment with a purchase price
8-6 greater than $50,000 used exclusively in a commercial timber
8-7 operation as described by Section 151.3161(a).
8-8 SECTION 10. Section 151.313(a), Tax Code, is amended to read
8-9 as follows:
8-10 (a) The following items are exempted from the taxes imposed
8-11 by this chapter:
8-12 (1) a drug or medicine, other than insulin, if
8-13 prescribed or dispensed for a human or animal by a licensed
8-14 practitioner of the healing arts;
8-15 (2) insulin;
8-16 (3) a hypodermic syringe or needle;
8-17 (4) a brace; hearing aid or audio loop; orthopedic,
8-18 dental, or prosthetic device; ileostomy, colostomy, or ileal
8-19 bladder appliance; or supplies or replacement parts for the listed
8-20 items;
8-21 (5) a therapeutic appliance, device, and any related
8-22 supplies specifically designed for those products, if dispensed or
8-23 prescribed by a licensed practitioner of the healing arts, when
8-24 those items are purchased and used by an individual for whom the
8-25 items listed in this subdivision were dispensed or prescribed;
8-26 (6) corrective lens and necessary and related
8-27 supplies, if dispensed or prescribed by an ophthalmologist or
9-1 optometrist;
9-2 (7) specialized printing or signalling equipment used
9-3 by the deaf for the purpose of enabling the deaf to communicate
9-4 through the use of an ordinary telephone and all materials, paper,
9-5 and printing ribbons used in that equipment;
9-6 (8) a braille wristwatch, braille writer, braille
9-7 paper and braille electronic equipment that connects to computer
9-8 equipment, and the necessary adaptive devices and adaptive computer
9-9 software; <and>
9-10 (9) each of the following items if purchased for use
9-11 by the blind to enable them to function more independently: a
9-12 slate and stylus, print enlarger, light probe, magnifier, white
9-13 cane, talking clock, large print terminal, talking terminal, or
9-14 harness for guide dog; and
9-15 (10) hospital beds.
9-16 SECTION 11. Section 151.314(e), Tax Code, is amended to read
9-17 as follows:
9-18 (e) Food products, candy, carbonated beverages, and diluted
9-19 juices are exempted from the taxes imposed by this chapter if sold
9-20 at an exempt sale qualifying under this subsection or if stored or
9-21 used by the purchaser of the item at the exempt sale. A sale is
9-22 exempted under this subsection if:
9-23 (1) the sale is made by a person under 19 <18> years
9-24 old who is a member of a nonprofit organization devoted to the
9-25 exclusive purpose of education or religious or physical training or
9-26 by a group associated with a public or private elementary or
9-27 secondary school;
10-1 (2) the sale is made as a part of a fund-raising drive
10-2 sponsored by the organization or group; and
10-3 (3) all net proceeds from the sale go to the
10-4 organization or group for its exclusive use.
10-5 SECTION 12. Section 151.316, Tax Code, is amended by
10-6 amending Subsection (a) and by adding Subsection (c) to read as
10-7 follows:
10-8 (a) The following items are exempted from the taxes imposed
10-9 by this chapter:
10-10 (1) horses, mules, and work animals;
10-11 (2) animal life the products of which ordinarily
10-12 constitute food for human consumption;
10-13 (3) feed for farm and ranch animals;
10-14 (4) feed for animals that are held for sale in the
10-15 regular course of business;
10-16 (5) seeds and annual plants the products of which:
10-17 (A) ordinarily constitute food for human
10-18 consumption;
10-19 (B) are to be sold in the regular course of
10-20 business; or
10-21 (C) are used to produce feed for animals
10-22 exempted by this section;
10-23 (6) fertilizers, fungicides, insecticides, herbicides,
10-24 defoliants, and desiccants exclusively used or employed on a farm
10-25 or ranch in the production of:
10-26 (A) food for human consumption;
10-27 (B) feed for animal life; or
11-1 (C) other agricultural products to be sold in
11-2 the regular course of business;
11-3 (7) machinery and equipment exclusively used or
11-4 employed on a farm or ranch in the building or maintaining of roads
11-5 or water facilities or in the production of:
11-6 (A) food for human consumption;
11-7 (B) grass;
11-8 (C) feed for animal life; or
11-9 (D) other agricultural products to be sold in
11-10 the regular course of business;
11-11 (8) machinery and equipment exclusively used in, and
11-12 pollution control equipment required as a result of, the
11-13 processing, packing, or marketing of agricultural products by an
11-14 <the> original producer at a location operated by the original
11-15 producer <exclusively> for processing, packing, or marketing the
11-16 producer's own products if:
11-17 (A) 50 percent or more of the products
11-18 processed, packed, or marketed at or from the location are produced
11-19 by the original producer and not purchased or acquired from others;
11-20 and
11-21 (B) the producer does not process, pack, or
11-22 market for consideration any agricultural products that belong to
11-23 other persons in an amount greater than five percent of the total
11-24 agricultural products processed, packed, or marketed by the
11-25 producer; and
11-26 (9) ice exclusively used by commercial fishing boats
11-27 in the storing of aquatic species including but not limited to
12-1 shrimp, other crustaceans, finfish, mollusks, and other similar
12-2 creatures.
12-3 (c) In this section:
12-4 (1) "Farm or ranch" includes one or more tracts of
12-5 land used, in whole or in part, in the production of crops,
12-6 livestock, or other agricultural products held for sale in the
12-7 regular course of business. The term includes feedlots, dairy
12-8 farms, poultry farms, commercial orchards, commercial nurseries,
12-9 and similar commercial agricultural operations. The term does not
12-10 include a home garden or a timber operation.
12-11 (2) "Original producer" means a person who:
12-12 (A) brings an agricultural product into being
12-13 and is the owner of the agricultural product from the time it is
12-14 brought into being until it is processed, packed, or marketed; or
12-15 (B) is the grower of an agricultural product,
12-16 exercises predominant operational control over the raising of the
12-17 agricultural product, and bears a risk of loss of investment in the
12-18 agricultural product.
12-19 (d) Two or more corporations that operate agricultural
12-20 activities on the same tract or adjacent tracts of land and that
12-21 are entirely owned by an individual or a combination of the
12-22 individual, the individual's spouse, and the individual's children
12-23 may qualify as an original producer for the purposes of Subsection
12-24 (a)(8).
12-25 SECTION 13. Subchapter H, Chapter 151, Tax Code, is amended
12-26 by adding Section 151.3161 to read as follows:
12-27 Sec. 151.3161. TIMBER OPERATIONS. (a) The first $50,000 of
13-1 the purchase price of each unit of machinery or equipment used
13-2 exclusively in a commercial timber operation to prepare the site,
13-3 plant, cultivate, or harvest timber in the regular course of
13-4 business is exempted from the taxes imposed by this chapter.
13-5 (b) Subsection (a) does not apply to the purchase of
13-6 machinery or equipment through a rental or lease agreement with a
13-7 term of less than 12 months.
13-8 (c) In this section, "machinery or equipment" means only
13-9 complete systems or units that operate or perform a particular
13-10 function independently of other units or components. The term does
13-11 not include:
13-12 (1) repair or replacement parts, modules, accessories,
13-13 or components; or
13-14 (2) handheld manual or power tools, including chain
13-15 saws and axes.
13-16 SECTION 14. Section 151.317(c), Tax Code, is amended to read
13-17 as follows:
13-18 (c) In this section:
13-19 (1) "Residential use" means use:
13-20 (A) in a family dwelling or in a multifamily
13-21 apartment or housing complex or building or in a part of a building
13-22 occupied as a home or residence when the use is by the owner of the
13-23 dwelling, apartment, complex, or building or part of the building
13-24 occupied; or
13-25 (B) in a dwelling, apartment, house, or building
13-26 or part of a building occupied as a home or residence when the use
13-27 is by a tenant who occupies the dwelling, apartment, house, or
14-1 building or part of a building under a contract for an express
14-2 initial term for longer than 29 consecutive days.
14-3 (2) "Commercial use" means use by a person engaged in
14-4 selling, warehousing, or distributing a commodity or a professional
14-5 or personal service, but does not include:
14-6 (A) use by a person engaged in:
14-7 (i) processing tangible personal property
14-8 for sale as tangible personal property, other than preparation or
14-9 storage of food for immediate consumption;
14-10 (ii) exploring for, <or> producing, or
14-11 <and> transporting, a material extracted from the earth;
14-12 (iii) agriculture, including dairy or
14-13 poultry operations and pumping for farm or ranch irrigation; <or>
14-14 (iv) electrical processes such as
14-15 electroplating, electrolysis, and cathodic protection; or
14-16 (v) the off-wing processing, overhaul, or
14-17 repair of a jet turbine engine or its parts for a certificated or
14-18 licensed carrier of persons or property; or
14-19 (B) a direct or indirect use, consumption, or
14-20 loss of electricity by an electric utility engaged in the purchase
14-21 of electricity for resale.
14-22 SECTION 15. Section 151.318, Tax Code, is amended by
14-23 amending Subsections (b), (e), (m), and (n) and by adding
14-24 Subsection (q) to read as follows:
14-25 (b) The exemption includes:
14-26 (1) chemicals, catalysts, and other materials that are
14-27 used during a manufacturing, processing, or fabrication operation
15-1 to produce or induce a chemical or physical change, to remove
15-2 impurities, or to make the product more marketable; and
15-3 (2) semiconductor fabrication cleanrooms and
15-4 equipment.
15-5 (e) This section does not apply to any taxable item rented
15-6 or leased for less than one year to a person engaged in
15-7 manufacturing.
15-8 (m) The refund of a portion of the taxes imposed by this
15-9 chapter provided by Subsection (h)(1) and Subsection (n) for
15-10 property purchased during 1990 or 1991 and the reduction in the
15-11 amount of the tax imposed by this chapter provided by Subsections
15-12 (h)(2), (3), <and> (4), and (5) and Subsection (n) for property
15-13 purchased during 1992, 1993, or 1994 do not affect the application
15-14 of <a> sales and use taxes <tax> imposed on the property by a
15-15 political subdivision of this state under Chapter 321, 322, or 323,
15-16 or under any other law.
15-17 (n) A person engaged in overhauling, retrofitting, or
15-18 repairing jet turbine aircraft engines and their component parts is
15-19 entitled to a refund or a reduction in the amount of tax imposed by
15-20 this chapter for the purchase of machinery, equipment, <or>
15-21 replacement parts or accessories with a useful life in excess of
15-22 six months, or supplies, including aluminum oxide, nitric acid, and
15-23 sodium cyanide, used in electrochemical plating or a similar
15-24 process that are used or consumed in the overhauling, retrofitting,
15-25 or repairing. The amount of the refund or reduced amount of tax
15-26 due is the same as provided by Subsection (h) for property covered
15-27 by Subsection (g).
16-1 (q) For purposes of Subsection (b), "semiconductor
16-2 fabrication cleanrooms and equipment" means all tangible personal
16-3 property, without regard to whether the property is affixed to or
16-4 incorporated into realty, used in connection with the
16-5 manufacturing, processing, or fabrication in a cleanroom
16-6 environment of a semiconductor product, without regard to whether
16-7 the property is actually contained in the cleanroom environment.
16-8 The term includes integrated systems, fixtures, and piping, all
16-9 property necessary or adapted to reduce contamination or to control
16-10 airflow, temperature, humidity, chemical purity, or other
16-11 environmental conditions or manufacturing tolerances, and
16-12 production equipment and machinery. The term does not include the
16-13 building or a permanent, nonremovable component of the building,
16-14 that houses the cleanroom environment. The term includes moveable
16-15 cleanroom partitions and cleanroom lighting. "Semiconductor
16-16 fabrication cleanrooms and equipment" are not "intraplant
16-17 transportation equipment" or "used incidentally in a manufacturing,
16-18 processing, or fabrication operation" as those terms are used in
16-19 Subsection (c)(2).
16-20 SECTION 16. Section 151.319(e), Tax Code, is amended to read
16-21 as follows:
16-22 (e) The following items are not exempted by Subsection (d)
16-23 of this section:
16-24 (1) machinery or equipment or their accessories or
16-25 replacement parts having a useful life when new in excess of six
16-26 months;
16-27 (2) intraplant transportation equipment, maintenance
17-1 or janitorial supplies or equipment, or other machinery, equipment,
17-2 materials, or supplies that are used incidentally to printing or
17-3 processing;
17-4 (3) hand tools; or
17-5 (4) office equipment or supplies; equipment or
17-6 supplies used in sales, distribution, or transportation activities,
17-7 or in gathering information; or other tangible personal property
17-8 used by a newspaper printer in an activity other than the actual
17-9 printing and processing operation<; or>
17-10 <(5) internal or external wrapping, packing, and
17-11 packaging supplies, as defined by Section 151.302(d), purchased for
17-12 a person's own use, stored for use, or used in wrapping, packing,
17-13 or packaging tangible personal property>.
17-14 SECTION 17. Section 151.342, Tax Code, is amended to read as
17-15 follows:
17-16 Sec. 151.342. AGRIBUSINESS ITEMS. (a) There are exempted
17-17 from the tax imposed by this chapter bins used exclusively as
17-18 containers in transporting fruit or vegetables from the field or
17-19 place of harvest to a location where the items are processed,
17-20 packaged, or marketed.
17-21 (b) There are exempted from the tax imposed by this chapter
17-22 poultry cages used exclusively as containers in transporting
17-23 poultry from a poultry farm to a location where the poultry is
17-24 processed, packaged, or marketed.
17-25 SECTION 18. Section 151.350, Tax Code, is amended to read as
17-26 follows:
17-27 Sec. 151.350. LABOR TO RESTORE <REPAIR> CERTAIN PROPERTY.
18-1 (a) Labor to restore <repair> real or tangible personal property
18-2 is exempted from the taxes imposed by this chapter if:
18-3 (1) the amount of the charge for labor is separately
18-4 itemized; and
18-5 (2) the restoration is performed on <repair is to>
18-6 property damaged within a disaster area by the condition that
18-7 caused the area to be declared a disaster area.
18-8 (b) The exemption under this section does not apply to
18-9 tangible personal property transferred by the service provider to
18-10 the purchaser as part of the service <repair>.
18-11 (c) In this section, "disaster area" means:
18-12 (1) an area declared a disaster area by the governor
18-13 under Chapter 418, Government Code; or
18-14 (2) an area declared a disaster area by the president
18-15 of the United States under 42 U.S.C. Section 5141.
18-16 (d) In this section, "restore" means:
18-17 (1) launder or clean, to the extent the service is a
18-18 personal service as defined in Section 151.0045; and
18-19 (2) repair, restore, or remodel, to the extent the
18-20 service is:
18-21 (A) a real property repair or remodeling service
18-22 as defined in Section 151.0047; or
18-23 (B) defined as a taxable service in Section
18-24 151.0101(5).
18-25 SECTION 19. Section 151.509, Tax Code, is amended to read as
18-26 follows:
18-27 Sec. 151.509. Petition for Redetermination. <(b)> A person
19-1 petitioning for a redetermination of a determination made under
19-2 Section 111.022 <151.506 of this code> must file, before the
19-3 determination becomes final, security as the comptroller requires
19-4 to ensure compliance with this chapter. The security may be sold
19-5 by the comptroller in the manner provided by Subchapter A, Chapter
19-6 111 <Section 151.611 of this code>.
19-7 SECTION 20. Section 151.712(g), Tax Code, is amended to read
19-8 as follows:
19-9 (g) A proceeding to impose a civil penalty or suspend or
19-10 revoke a license because of a violation of this section is a
19-11 contested case under Chapter 2001, Government Code <the
19-12 Administrative Procedure and Texas Register Act (Article 6252-13a,
19-13 Vernon's Texas Civil Statutes)>. Judicial review is by trial de
19-14 novo. The district courts of Travis County have exclusive original
19-15 jurisdiction of a suit under this section.
19-16 SECTION 21. Sections 153.002(b) and (d), Tax Code, are
19-17 amended to read as follows:
19-18 (b) A lessor who is engaged regularly in the business of
19-19 leasing for compensation motor vehicles and equipment he owns to
19-20 carriers or other lessees for interstate operation may be deemed to
19-21 be the user or interstate trucker when he supplies or pays for the
19-22 motor fuel consumed in those vehicles, and the lessor may be issued
19-23 a permit as an interstate trucker when an application has <and bond
19-24 have> been properly filed with and approved by the comptroller.
19-25 (d) A lessor described in Subsection (b) of this section may
19-26 <must> file with his application for an interstate trucker permit
19-27 one copy of the form-lease or service contract he enters into with
20-1 the various lessees of his motor vehicles. When the interstate
20-2 trucker permit has been secured, the lessor may <shall> make and
20-3 assign to each motor vehicle he leases for interstate operation a
20-4 photocopy of the permit to be carried in the cab compartment of the
20-5 motor vehicle. The photocopy of the permit must have typed or
20-6 printed on the back the unit or motor number of the motor vehicle
20-7 to which it is assigned and the name of the lessee. The lessor is
20-8 responsible for the proper use of the photocopy of the permit
20-9 issued and for its return to him with the motor vehicle to which it
20-10 is assigned.
20-11 SECTION 22. Section 153.017, Tax Code, is amended by
20-12 amending Subsections (b) and (f) and by adding Subsections (g) and
20-13 (h) to read as follows:
20-14 (b) An agreement may provide for:
20-15 (1) determining the base state for motor fuel users;
20-16 (2) <,> user records requirements;
20-17 (3) <,> audit procedures;
20-18 (4) <,> exchange of information;
20-19 (5) <,> persons eligible for tax licensing;
20-20 (6) licensing and license revocation procedures,
20-21 permits, penalties, and fees;
20-22 (7) <,> defining qualified motor vehicles;
20-23 (8) <,> determining <if> bonding procedures, types,
20-24 and amounts;
20-25 (9) <is required,> specifying reporting requirements
20-26 and periods;
20-27 (10) defining refund procedures and limitations,
21-1 including the payment of interest;
21-2 (11) <, including> defining uniform penalties, fees,
21-3 <penalty> and interest rates;
21-4 (12) <for late reporting,> determining methods for
21-5 collecting and forwarding of motor fuel taxes, <and> penalties, and
21-6 interest due to another jurisdiction;
21-7 (13) the temporary remittal of funds equal to the
21-8 amount of the taxes, penalties, and interest due to another
21-9 jurisdiction but not otherwise collected, subject to appropriation
21-10 of funds for that purpose; and
21-11 (14) <, and> other provisions to facilitate the
21-12 administration of the agreement.
21-13 (f) An agreement entered into under this section prevails
21-14 over an inconsistent rule of the comptroller. Except as otherwise
21-15 provided by this section, a <A> statute of this state prevails over
21-16 an inconsistent provision of an agreement entered into under this
21-17 section.
21-18 (g) The comptroller may segregate in a separate fund or
21-19 account the amount of motor fuel taxes estimated to be due to other
21-20 jurisdictions or otherwise subject to refund during the fiscal
21-21 year, penalties and interest on those taxes due other
21-22 jurisdictions, licensing fees, and other costs collected under the
21-23 agreement. On a determination of an amount held that is due to be
21-24 remitted to another jurisdiction, the comptroller may issue a
21-25 warrant or make an electronic transfer of the amount as necessary
21-26 to carry out the purposes of the agreement. An auditing cost,
21-27 membership fee, and other cost associated with the agreement may be
22-1 paid from interest earned on funds segregated under this
22-2 subsection. Any interest earnings in excess of the costs
22-3 associated with the agreement shall be credited to general revenue.
22-4 (h) The legislature finds that it is in the public interest
22-5 to enter into motor fuel tax agreements with other jurisdictions
22-6 that may provide for the temporary remittal of amounts due other
22-7 jurisdictions that exceed the amounts collected. The comptroller
22-8 shall ensure that reasonable measures are developed to recover
22-9 motor fuel taxes and other amounts due this state during each
22-10 biennium.
22-11 SECTION 23. Section 153.116(e), Tax Code, is amended to read
22-12 as follows:
22-13 (e) In lieu of filing a surety bond, an applicant for a
22-14 permit may substitute the following security:
22-15 (1) cash in the form of U.S. currency in an amount
22-16 equal to the required bond to be deposited in the suspense account
22-17 of the state treasury;
22-18 (2) an assignment to the comptroller of a certificate
22-19 of deposit in any bank or savings and loan association in Texas
22-20 that is a member of the FDIC <or the FSLIC> in an amount at least
22-21 equal to the bond amount required; or
22-22 (3) an irrevocable letter of credit to the comptroller
22-23 from any bank or savings and loan association in Texas that is a
22-24 member of the FDIC <or FSLIC> in an amount of credit at least equal
22-25 to the bond amount required.
22-26 SECTION 24. Section 153.205, Tax Code, is amended by adding
22-27 Subsection (i) to read as follows:
23-1 (i) A permitted supplier may not make a tax-free sale to a
23-2 purchaser using a signed statement:
23-3 (1) for the sale of more than 3,000 gallons of diesel
23-4 fuel in a single transaction; or
23-5 (2) in a calendar month in which the supplier has
23-6 previously sold more than 10,000 gallons of diesel fuel to the
23-7 purchaser.
23-8 SECTION 25. Section 153.206(f), Tax Code, is amended to read
23-9 as follows:
23-10 (f) If diesel fuel is purchased, in a single delivery of
23-11 5,000 gallons or more, or in lesser quantities where required by
23-12 city ordinance, by any person for the purpose of resale, the
23-13 seller, distributor, or broker shall sell the product to the
23-14 retailer or any other person purchasing the product on the basis of
23-15 temperature-corrected gallonage to 60 degrees Fahrenheit and the
23-16 tax shall be computed and paid over to the state on the
23-17 temperature-corrected basis. All other sales shall be reported to
23-18 the comptroller on the basis of gross or volumetric gallons of
23-19 taxable diesel fuel <gasoline> sold.
23-20 SECTION 26. Section 153.218(e), Tax Code, is amended to read
23-21 as follows:
23-22 (e) In lieu of filing a surety bond, an applicant for a
23-23 permit may substitute the following security:
23-24 (1) cash in the form of U.S. currency in an amount
23-25 equal to the required bond to be deposited in the suspense account
23-26 of the state treasury;
23-27 (2) an assignment to the comptroller of a certificate
24-1 of deposit in any bank or savings and loan association in the state
24-2 that is a member of the FDIC <or the FSLIC> in an amount at least
24-3 equal to the bond amount required; or
24-4 (3) an irrevocable letter of credit to the comptroller
24-5 from any bank or savings and loan association in Texas that is a
24-6 member of the FDIC <or FSLIC> in an amount of credit at least equal
24-7 to the bond amount required.
24-8 SECTION 27. Section 153.220(a), Tax Code, is amended to read
24-9 as follows:
24-10 (a) A delivery of diesel fuel into the fuel supply tanks of
24-11 a motor vehicle operated for commercial purposes and described by
24-12 Section 153.001(12) <having an aggregate capacity of 60 or more
24-13 gallons> shall be evidenced by an invoice issued in duplicate by a
24-14 dealer or an invoice or a distribution log issued by a bonded user
24-15 or other user.
24-16 SECTION 28. Section 153.304, Tax Code, is amended to read as
24-17 follows:
24-18 Sec. 153.304. Dealer's Permit. A dealer's permit authorizes
24-19 a dealer to collect and remit taxes on liquefied gas delivered into
24-20 the fuel supply tanks of motor vehicles displaying an out-of-state
24-21 license plate, the motor vehicle of an interstate trucker licensed
24-22 under an agreement entered into under Section 153.017, or a motor
24-23 vehicle displaying a motor vehicle dealer's liquefied gas tax
24-24 decal.
24-25 SECTION 29. Section 153.305, Tax Code, is amended by adding
24-26 Subsection (e) to read as follows:
24-27 (e) An interstate trucker is not required to prepay the tax
25-1 under Subsection (a) for a motor vehicle operated for commercial
25-2 purposes and described by Section 153.001(12).
25-3 SECTION 30. Section 153.306, Tax Code, is amended to read as
25-4 follows:
25-5 Sec. 153.306. Interstate Trucker's Permit. An interstate
25-6 trucker's permit authorizes a person who imports <an interstate
25-7 trucker operating a motor vehicle with a base license plate issued
25-8 by a state other than Texas to import> liquefied gas into this
25-9 state in the fuel supply tanks of a motor vehicle <vehicles> owned
25-10 or operated <by him> for commercial purposes and described by
25-11 Section 153.001(12), to report and pay the tax due, and to make
25-12 sales or distributions in Texas from the vehicle's <his> cargo
25-13 tanks, but no delivery may be made in Texas into the fuel supply
25-14 tanks of motor vehicles not bearing a current liquefied gas tax
25-15 decal without first obtaining the required dealer's permit to make
25-16 taxable sales. <The interstate trucker's permit for users
25-17 operating a motor vehicle with a base license plate issued by a
25-18 state other than Texas is in lieu of the liquefied gas tax decal
25-19 permit required to operate motor vehicles on the highways of the
25-20 state.>
25-21 SECTION 31. Section 153.402, Tax Code, is amended to read as
25-22 follows:
25-23 Sec. 153.402. Prohibited Acts; Civil Penalties. A person
25-24 forfeits to the state a civil penalty of not less than $25 nor more
25-25 than $200 if the person:
25-26 (1) refuses to stop and permit the inspection and
25-27 examination of a motor vehicle transporting or using motor fuel on
26-1 demand of a peace officer or the comptroller;
26-2 (2) operates a motor vehicle in this state without a
26-3 valid interstate trucker's or a trip permit when the person is
26-4 required to hold one of those permits;
26-5 (3) operates a liquefied gas-propelled motor vehicle
26-6 that is required to be licensed in Texas, including motor vehicles
26-7 equipped with dual carburetion, and does not display a current
26-8 liquefied gas tax decal or multistate fuels tax agreement decal;
26-9 (4) makes a tax-free sale or delivery of liquefied gas
26-10 into the fuel supply tank of a motor vehicle that does not display
26-11 a current Texas liquefied gas tax decal;
26-12 (5) makes a taxable sale or delivery of liquefied gas
26-13 without holding a valid dealer's permit;
26-14 (6) makes a tax-free sale or delivery of liquefied gas
26-15 into the fuel supply tank of a motor vehicle bearing out-of-state
26-16 license plates;
26-17 (7) makes a <tax-free or taxable sale or> delivery of
26-18 liquefied gas into the fuel supply tank of a motor vehicle bearing
26-19 Texas license plates and no Texas liquefied gas tax decal, unless
26-20 licensed under a multistate fuels tax agreement;
26-21 (8) transports gasoline or diesel fuel in any cargo
26-22 tank that has a connection by pipe, tube, valve, or otherwise with
26-23 the fuel injector or carburetor or with the fuel supply tank
26-24 feeding the fuel injector or carburetor of the motor vehicle
26-25 transporting the product;
26-26 (9) sells or delivers gasoline or diesel fuel from any
26-27 fuel supply tank connected with the fuel injector or carburetor of
27-1 a motor vehicle;
27-2 (10) owns or operates a motor vehicle for which
27-3 reports or mileage records are required by this chapter without an
27-4 operating odometer or other device in good working condition to
27-5 record accurately the miles traveled;
27-6 (11) furnishes a signed statement to a supplier for
27-7 purchasing diesel fuel tax free when he owns, operates, or acquires
27-8 a diesel-powered motor vehicle;
27-9 (12) fails or refuses to comply with or violates a
27-10 provision of this chapter; or
27-11 (13) fails or refuses to comply with or violates a
27-12 comptroller's rule for administering or enforcing this chapter.
27-13 SECTION 32. Section 153.403, Tax Code, is amended to read as
27-14 follows:
27-15 Sec. 153.403. Criminal Offenses. Except as provided by
27-16 Section 153.404 of this code, a person commits an offense if the
27-17 person:
27-18 (1) refuses to stop and permit the inspection and
27-19 examination of a motor vehicle transporting or using motor fuel on
27-20 the demand of a peace officer or the comptroller;
27-21 (2) is required to hold a valid trip permit or
27-22 interstate trucker's permit, but operates a motor vehicle in this
27-23 state without a valid trip permit or interstate trucker's permit;
27-24 (3) operates a liquefied gas-propelled motor vehicle
27-25 that is required to be licensed in Texas, including a motor vehicle
27-26 equipped with dual carburetion, and does not display a current
27-27 liquefied gas tax decal or multistate fuels tax agreement decal;
28-1 (4) transports gasoline or diesel fuel in any cargo
28-2 tank that has a connection by pipe, tube, valve, or otherwise with
28-3 the fuel injector or carburetor or with the fuel supply tank
28-4 feeding the fuel injector or carburetor of the motor vehicle
28-5 transporting the product;
28-6 (5) sells or delivers gasoline or diesel fuel from a
28-7 fuel supply tank that is connected with the fuel injector or
28-8 carburetor of a motor vehicle;
28-9 (6) owns or operates a motor vehicle for which reports
28-10 or mileage records are required by this chapter without an
28-11 operating odometer or other device in good working condition to
28-12 record accurately the miles traveled;
28-13 (7) as a diesel tax prepaid user fails to prepay the
28-14 tax on every diesel-powered motor vehicle owned or operated by him;
28-15 (8) makes a tax-free sale or delivery of liquefied gas
28-16 into the fuel supply tank of a motor vehicle that does not display
28-17 a current Texas liquefied gas tax decal;
28-18 (9) makes a sale or delivery of liquefied gas on which
28-19 the person knows the tax is required to be collected, if at the
28-20 time the sale is made the person does not hold a valid dealer's
28-21 permit;
28-22 (10) makes a tax-free sale or delivery of liquefied
28-23 gas into the fuel supply tank of a motor vehicle bearing
28-24 out-of-state license plates;
28-25 (11) makes a <tax-free or taxable sale or> delivery of
28-26 liquefied gas into the fuel supply tank of a motor vehicle bearing
28-27 Texas license plates and no Texas liquefied gas tax decal, unless
29-1 licensed under a multistate fuels tax agreement;
29-2 (12) refuses to permit the comptroller or the attorney
29-3 general to inspect, examine, or audit a book or record required to
29-4 be kept by a distributor, supplier, user, dealer, interstate
29-5 trucker, aviation fuel dealer, jobber, common or contract carrier,
29-6 or any person required to hold a permit under this chapter;
29-7 (13) refuses to permit the comptroller or the attorney
29-8 general to inspect or examine any plant, equipment, materials, or
29-9 premises where motor fuel is produced, processed, stored, sold,
29-10 delivered, or used;
29-11 (14) refuses to permit the comptroller or the attorney
29-12 general to measure or gauge the contents of or take samples from a
29-13 storage tank or container on premises where motor fuel is produced,
29-14 processed, stored, sold, delivered, or used;
29-15 (15) is a distributor, bonded user, interstate
29-16 trucker, or supplier and fails or refuses to make or deliver to the
29-17 comptroller a report required by this chapter to be made and
29-18 delivered to the comptroller;
29-19 (16) conceals motor fuel with the intent of engaging
29-20 in any conduct proscribed by this chapter or refuses to make sales
29-21 of motor fuel on the volume-corrected basis prescribed by this
29-22 chapter;
29-23 (17) refuses, while transporting motor fuel, to stop
29-24 the motor vehicle he is operating when called on to do so by a
29-25 person authorized to stop the motor vehicle;
29-26 (18) refuses to surrender a motor vehicle and cargo
29-27 for impoundment after being ordered to do so by a person authorized
30-1 to impound the motor vehicle and cargo;
30-2 (19) transports motor fuel for which a cargo manifest
30-3 is required to be carried without possessing or exhibiting on
30-4 demand by an officer authorized to make the demand a cargo manifest
30-5 containing the information required to be shown on the manifest;
30-6 (20) mutilates, destroys, or secretes a book or record
30-7 required by this chapter to be kept by a distributor, supplier,
30-8 user, dealer, interstate trucker, aviation fuel dealer, jobber, or
30-9 person required to hold a permit under this chapter;
30-10 (21) is a distributor, supplier, user, dealer,
30-11 interstate trucker, aviation fuel dealer, jobber, or other person
30-12 required to hold a permit under this chapter, or the agent or
30-13 employee of one of those persons and makes a false entry or fails
30-14 to make an entry in the books and records required under this
30-15 chapter to be made by the person;
30-16 (22) transports in any manner motor fuel under a false
30-17 cargo manifest;
30-18 (23) engages in a motor fuel transaction that requires
30-19 that the person have a permit under this chapter without then and
30-20 there holding the required permit;
30-21 (24) makes and delivers to the comptroller a report
30-22 required under this chapter to be made and delivered to the
30-23 comptroller, if the report contains false information;
30-24 (25) forges, falsifies, or alters an invoice
30-25 prescribed by law;
30-26 (26) makes any statement, knowing said statement to be
30-27 false, in a claim for a tax refund filed with the comptroller;
31-1 (27) furnishes to a supplier a signed statement for
31-2 purchasing diesel fuel tax free when he owns, operates, or acquires
31-3 a diesel-powered motor vehicle;
31-4 (28) holds an aviation fuel dealer's permit and makes
31-5 a taxable sale or use of any gasoline or diesel fuel;
31-6 (29) fails to remit any tax funds collected by a
31-7 distributor, supplier, user, dealer, interstate trucker, jobber, or
31-8 any other person required to hold a permit under this chapter;
31-9 (30) makes a sale of diesel fuel tax free into a
31-10 storage facility of a person who:
31-11 (A) is not permitted as a supplier, as an
31-12 aviation fuel dealer, as a bonded user, or as a diesel tax prepaid
31-13 user of diesel fuel; or
31-14 (B) does not furnish to the permitted supplier a
31-15 signed statement prescribed in Section 153.205 of this code;
31-16 (31) makes a sale of gasoline tax free to any person
31-17 who is not permitted as either a distributor or an aviation fuel
31-18 dealer;
31-19 (32) is a dealer who purchases any motor fuel tax free
31-20 when not authorized to make a tax-free purchase under this chapter;
31-21 or
31-22 (33) is a dealer who purchases motor fuel with the
31-23 intent to evade any tax imposed by this chapter.
31-24 SECTION 33. Section 154.042(d), Tax Code, is amended to read
31-25 as follows:
31-26 (d) A plan for achieving compliance that is submitted to the
31-27 treasurer under Subsection (c) is confidential and not subject to
32-1 the open records law, Chapter 552, Government Code <424, Acts of
32-2 the 63rd Legislature, Regular Session, 1973 (Article 6252-17a,
32-3 Vernon's Texas Civil Statutes)>.
32-4 SECTION 34. Section 154.051(m), Tax Code, is amended to read
32-5 as follows:
32-6 (m) Information provided under Subsection (f) is
32-7 confidential and not subject to the open records law, Chapter 552,
32-8 Government Code <424, Acts of the 63rd Legislature, Regular
32-9 Session, 1973 (Article 6252-17a, Vernon's Texas Civil Statutes)>.
32-10 SECTION 35. Section 154.101(g), Tax Code, is amended to read
32-11 as follows:
32-12 (g) All financial information provided under this section is
32-13 confidential and not subject to the open records law, Chapter 552,
32-14 Government Code <424, Acts of the 63rd Legislature, Regular
32-15 Session, 1973 (Article 6252-17a, Vernon's Texas Civil Statutes)>.
32-16 SECTION 36. Section 154.114, Tax Code, is amended to read as
32-17 follows:
32-18 Sec. 154.114. FINAL Suspension or Revocation of a Permit.
32-19 (a) The treasurer may suspend or revoke a person's <distributor's,
32-20 wholesaler's, bonded agent's, or retailer's> permit if the
32-21 treasurer finds, after notice and hearing as provided by this
32-22 section, that the permit holder violated this chapter or an
32-23 administrative rule made under this chapter.
32-24 (b) If the treasurer intends to suspend or revoke a permit,
32-25 the treasurer shall provide the permit holder with written notice
32-26 that includes a statement:
32-27 (1) of the reason for the intended revocation or
33-1 suspension;
33-2 (2) that the permit holder is entitled to a hearing by
33-3 the treasurer on the proposed suspension or revocation of the
33-4 permit; and
33-5 (3) of the date, time, and place of the hearing.
33-6 (c) The treasurer shall mail the written notice by certified
33-7 mail, return receipt requested, to the permit holder's mailing
33-8 address as it appears on the treasurer's records <place designated
33-9 on the application for a permit as the place of business>. Service
33-10 by mail is complete when the notice is received, as evidenced by
33-11 return receipt from the U. S. Postal Service.
33-12 (d) The treasurer shall give the permit holder not less than
33-13 10 days' notice of a final <may not schedule the> hearing <before
33-14 the 10th working day after the date the permit holder received the
33-15 notice>.
33-16 (e) A permit holder may appeal the decision of the treasurer
33-17 to a district court in Travis County not later than the 30th day
33-18 after the date the treasurer's decision becomes final.
33-19 (f) A person whose permit is suspended or revoked may not
33-20 sell, offer for sale, or distribute cigarettes from the place of
33-21 business to which the permit applied until a new permit is granted
33-22 or the suspension is removed.
33-23 (g) If the treasurer suspends or revokes a permit, the
33-24 treasurer shall provide written notice of the suspension or
33-25 revocation, within a reasonable time, to each permit holder in the
33-26 state. A permit holder violates Section 154.1015(a) by selling or
33-27 distributing cigarettes to a person whose permit has been suspended
34-1 or revoked only after the permit holder receives written notice of
34-2 the suspension or revocation from the treasurer.
34-3 SECTION 37. Subchapter D, Chapter 154, Tax Code, is amended
34-4 by adding Section 154.1141 to read as follows:
34-5 Sec. 154.1141. Summary Suspension of a Permit. (a) The
34-6 treasurer may suspend a person's permit without notice or a hearing
34-7 for the person's failure to comply with this chapter or a rule
34-8 adopted under this chapter if the person's continued operation
34-9 constitutes an immediate and substantial threat to the collection
34-10 of taxes imposed by this chapter and attributable to the person's
34-11 operation.
34-12 (b) If the treasurer summarily suspends a person's permit,
34-13 proceedings for a preliminary hearing before the treasurer or the
34-14 treasurer's representative must be initiated simultaneously with
34-15 the summary suspension. The preliminary hearing shall be set for a
34-16 date not later than 10 days after the date of the summary
34-17 suspension, unless the parties agree to a later date.
34-18 (c) At the preliminary hearing, the permit holder must show
34-19 cause why the permit should not remain suspended pending a final
34-20 hearing on suspension or revocation.
34-21 (d) Chapter 2001, Government Code, does not apply to a
34-22 summary suspension under this section.
34-23 (e) To initiate a proceeding to suspend summarily a person's
34-24 permit, the treasurer shall serve notice on the permit holder
34-25 informing the permit holder of the right to a preliminary hearing
34-26 before the treasurer or the treasurer's representative and of the
34-27 time and place of the preliminary hearing. The notice must be
35-1 personally served on the permit holder or an officer, employee, or
35-2 agent of the permit holder or sent by certified or registered mail,
35-3 return receipt requested, to the permit holder's mailing address as
35-4 it appears in the treasurer's records. The notice must state the
35-5 alleged violations that constitute the grounds for summary
35-6 suspension. The suspension is effective at the time the notice is
35-7 served. If the notice is served in person, the permit holder shall
35-8 immediately surrender the permit to the treasurer or the
35-9 treasurer's representative. If notice is served by mail, the
35-10 permit holder shall immediately return the permit to the treasurer.
35-11 (f) Section 154.114, governing hearings for final suspension
35-12 or revocation of a permit under this chapter, governs a final
35-13 administrative hearing under this section.
35-14 SECTION 38. Section 154.1145, Tax Code, is amended to read
35-15 as follows:
35-16 Sec. 154.1145. Hearings. Unless otherwise provided by this
35-17 chapter, the <The> treasurer shall conduct all hearings required by
35-18 this chapter in accordance with Chapter 2001, Government Code <the
35-19 Administrative Procedure and Texas Register Act (Article 6252-13a,
35-20 Vernon's Texas Civil Statutes)>. The treasurer may designate one
35-21 or more representatives to conduct the hearings and may prescribe
35-22 the rules of procedure governing the hearings.
35-23 SECTION 39. Section 154.201, Tax Code, is amended to read as
35-24 follows:
35-25 Sec. 154.201. Record of Purchase or Receipt. Each
35-26 distributor, wholesaler, <and> bonded agent, and export warehouse
35-27 shall keep records at each place of business of all cigarettes
36-1 purchased or <and> received, including records of those cigarettes
36-2 for which no tax is due under federal law. Each retailer shall
36-3 keep records at a single location, which the retailer shall
36-4 designate as its principal place of business in this state, of all
36-5 cigarettes purchased and received. These records must include:
36-6 (1) the name and address of the shipper or carrier and
36-7 the mode of transportation;
36-8 (2) all shipping records or copies of records,
36-9 including invoices, bills of lading, waybills, freight bills, and
36-10 express receipts;
36-11 (3) the date and the name of the place of origin of
36-12 the cigarette shipment;
36-13 (4) the date and the name of the place of arrival of
36-14 the cigarette shipment;
36-15 (5) a statement of the number, kind, and price paid
36-16 for cigarettes, including cigarettes in stamped and unstamped
36-17 packages;
36-18 (6) the name, address, permit number, and tax
36-19 identification number of the seller; and
36-20 (7) any other information required by rules of the
36-21 treasurer.
36-22 SECTION 40. Section 154.301, Tax Code, is amended to read as
36-23 follows:
36-24 Sec. 154.301. COMPLIANCE INVESTIGATION AND RECOVERY OF
36-25 <AUDIT> COSTS. (a) If the treasurer has reason to believe that a
36-26 person has failed to pay a tax or penalty in the proper manner when
36-27 due, as required by this chapter, or otherwise failed to comply
37-1 with this chapter, the treasurer may employ auditors and
37-2 investigators to determine compliance and any <the> amount due. If
37-3 the treasurer determines that the person has not paid the tax or
37-4 penalty or has failed to comply with this chapter, the treasurer
37-5 may require the person to <shall> pay the reasonable expenses
37-6 incurred for the compliance investigation and audit as an
37-7 additional penalty.
37-8 (b) The treasurer shall deposit funds paid under this
37-9 section to the credit of the general revenue <a special> fund in
37-10 the treasury to be used for making audits, conducting
37-11 investigations, or as otherwise appropriated. The treasurer may
37-12 use other funds available for audits as appropriated by the
37-13 legislature <when the special fund is exhausted>.
37-14 SECTION 41. Section 154.304(a), Tax Code, is amended to read
37-15 as follows:
37-16 (a) To determine the tax liability of a person dealing in
37-17 cigarettes or compliance by the person with this chapter, the
37-18 treasurer may:
37-19 (1) inspect any premises, including a vending machine
37-20 and its contents, where cigarettes are manufactured, produced,
37-21 stored, transported, sold, or offered for sale or exchange;
37-22 (2) remain on the premises as long as necessary to
37-23 determine the tax liability or compliance with this chapter;
37-24 (3) examine the records required by this chapter or
37-25 other records, books, documents, papers, accounts, and objects that
37-26 the treasurer determines are necessary for conducting a complete
37-27 examination; and
38-1 (4) examine stocks of cigarettes and cigarette stamps.
38-2 SECTION 42. Section 154.308, Tax Code, is amended to read as
38-3 follows:
38-4 Sec. 154.308. DEFICIENCY DETERMINATION, PENALTIES, AND
38-5 INTEREST. (a) If the treasurer has reasonable cause to believe
38-6 that a tax report or the amount of tax paid is inaccurate, the
38-7 treasurer may compute and determine the amount of tax, penalty, and
38-8 interest to be paid from information contained in the report or
38-9 from any other information available to the treasurer.
38-10 (b) On making a deficiency determination, the treasurer
38-11 shall notify the person by certified mail, return receipt
38-12 requested. Service by mail is complete when the notice is
38-13 received, as evidenced by return receipt from the U.S. Postal
38-14 Service.
38-15 SECTION 43. Section 155.041(g), Tax Code, is amended to read
38-16 as follows:
38-17 (g) All financial information provided under this section is
38-18 confidential and not subject to the open records law, Chapter 552,
38-19 Government Code <424, Acts of the 63rd Legislature, Regular
38-20 Session, 1973 (Article 6252-17a, Vernon's Texas Civil Statutes)>.
38-21 SECTION 44. Section 155.059, Tax Code, is amended to read as
38-22 follows:
38-23 Sec. 155.059. FINAL SUSPENSION OR REVOCATION OF PERMIT.
38-24 (a) The treasurer may revoke or suspend a person's <distributor's,
38-25 wholesaler's, bonded agent's, or retailer's> permit if the
38-26 treasurer finds, after notice and hearing as provided by this
38-27 section, that the permit holder violated this chapter or an
39-1 administrative rule made under this chapter.
39-2 (b) If the treasurer intends to suspend or revoke a permit,
39-3 the treasurer shall provide the permit holder with written notice
39-4 that includes a statement:
39-5 (1) of the reason for the intended revocation or
39-6 suspension;
39-7 (2) that the permit holder is entitled to a hearing by
39-8 the treasurer on the proposed suspension or revocation; and
39-9 (3) of the date, time, and place of the hearing.
39-10 (c) The treasurer shall mail the written notice by certified
39-11 mail, return receipt requested, to the permit holder's mailing
39-12 address as it appears in the treasurer's records <place designated
39-13 on the application for a permit as the place of business>. Service
39-14 by mail is complete when the notice is received, as evidenced by
39-15 the return receipt from the United States Postal Service.
39-16 (d) The treasurer shall give the permit holder not less than
39-17 10 days' notice of a final <may not schedule the> hearing <before
39-18 the 10th working day after the date the permit holder received the
39-19 notice>.
39-20 (e) A permit holder may appeal the decision of the treasurer
39-21 to a district court in Travis County not later than the 30th day
39-22 after the date the treasurer's decision becomes final.
39-23 (f) A person whose permit is suspended or revoked may not
39-24 sell, offer for sale, or distribute tobacco products from the place
39-25 of business to which the permit applied until a new permit is
39-26 granted or the suspension is removed.
39-27 (g) If the treasurer suspends or revokes a permit, the
40-1 treasurer shall provide written notice of the suspension or
40-2 revocation, within a reasonable time, to each permit holder in the
40-3 state. A permit holder violates Section 155.0415(a) by selling or
40-4 distributing tobacco products to a person whose permit has been
40-5 suspended or revoked only after the permit holder receives written
40-6 notice of the suspension or revocation from the treasurer.
40-7 SECTION 45. Subchapter C, Chapter 155, Tax Code, is amended
40-8 by adding Section 155.0591 to read as follows:
40-9 Sec. 155.0591. SUMMARY SUSPENSION OF A PERMIT. (a) The
40-10 treasurer may suspend a person's permit without notice or a hearing
40-11 for the person's failure to comply with this chapter or a rule
40-12 adopted under this chapter if the person's continued operation
40-13 constitutes an immediate and substantial threat to the collection
40-14 of taxes imposed by this chapter and attributable to the person's
40-15 operation.
40-16 (b) If the treasurer summarily suspends a person's permit,
40-17 proceedings for a preliminary hearing before the treasurer or the
40-18 treasurer's representative must be initiated simultaneously with
40-19 the summary suspension. The preliminary hearing shall be set for a
40-20 date not later than 10 days after the date of the summary
40-21 suspension, unless the parties agree to a later date.
40-22 (c) At the preliminary hearing, the permit holder must show
40-23 cause why the permit should not remain suspended pending a final
40-24 hearing on suspension or revocation.
40-25 (d) Chapter 2001, Government Code, does not apply to a
40-26 summary suspension under this section.
40-27 (e) To initiate a proceeding to suspend summarily a person's
41-1 permit, the treasurer shall serve notice on the permit holder
41-2 informing the permit holder of the right to a preliminary hearing
41-3 before the treasurer or the treasurer's representative and of the
41-4 time and place of the preliminary hearing. The notice must be
41-5 personally served on the permit holder or an officer, employee, or
41-6 agent of the permit holder or sent by certified or registered mail,
41-7 return receipt requested, to the permit holder's mailing address as
41-8 it appears in the treasurer's records. The notice must state the
41-9 alleged violations that constitute the grounds for summary
41-10 suspension. The suspension is effective at the time the notice is
41-11 served. If notice is served in person, the permit holder shall
41-12 immediately surrender the permit to the treasurer. If notice is
41-13 served by mail, the permit holder shall immediately return the
41-14 permit to the treasurer.
41-15 (f) Section 155.059, governing hearings for final suspension
41-16 or revocation of a permit under this chapter, governs a final
41-17 administrative hearing.
41-18 SECTION 46. Section 155.0595, Tax Code, is amended to read
41-19 as follows:
41-20 Sec. 155.0595. Hearings. Unless otherwise provided by this
41-21 chapter, the <The> treasurer shall conduct all hearings required by
41-22 this chapter in accordance with Chapter 2001, Government Code <the
41-23 Administrative Procedure and Texas Register Act (Article 6252-13a,
41-24 Vernon's Texas Civil Statutes)>. The treasurer may designate one
41-25 or more representatives to conduct the hearings and may prescribe
41-26 the rules of procedure governing the hearings.
41-27 SECTION 47. Section 155.101, Tax Code, is amended to read as
42-1 follows:
42-2 Sec. 155.101. Record of Purchase or Receipt. Each
42-3 distributor, wholesaler, <and> bonded agent, and export warehouse
42-4 shall keep records at each place of business of all tobacco
42-5 products purchased or <and> received. Each retailer shall keep
42-6 records at a single location, which the retailer shall designate as
42-7 its principal place of business in the state, of all tobacco
42-8 products purchased and received. These records must include:
42-9 (1) the name and address of the shipper or carrier and
42-10 the mode of transportation;
42-11 (2) all shipping records or copies of records,
42-12 including invoices, bills of lading, waybills, freight bills, and
42-13 express receipts;
42-14 (3) the date and the name of the place of origin of
42-15 the tobacco product shipment;
42-16 (4) the date and the name of the place of arrival of
42-17 the tobacco product shipment;
42-18 (5) a statement of the number, kind, and price paid
42-19 for the tobacco products;
42-20 (6) the name, address, permit number, and tax
42-21 identification number of the seller; and
42-22 (7) any other information required by rules of the
42-23 treasurer.
42-24 SECTION 48. Section 155.181, Tax Code, is amended to read as
42-25 follows:
42-26 Sec. 155.181. COMPLIANCE INVESTIGATION AND RECOVERY OF
42-27 <AUDIT> COSTS. (a) If the treasurer has reason to believe that a
43-1 person has failed to pay a tax or penalty in the proper manner when
43-2 due or otherwise failed to comply with<, as required by> this
43-3 chapter, the treasurer may employ auditors and investigators to
43-4 determine compliance and any <the> amount due. If the treasurer
43-5 determines that the person has not paid the tax or penalty or has
43-6 failed to comply with this chapter, the treasurer may require the
43-7 person to <shall> pay the reasonable expenses incurred in the
43-8 compliance investigation and audit as an additional penalty.
43-9 (b) The treasurer shall deposit funds paid under this
43-10 section to the credit of the general revenue <a special> fund in
43-11 the treasury to be used for making audits, conducting
43-12 investigations, or as otherwise appropriated. The comptroller
43-13 <treasurer> may use other funds available for audits as
43-14 appropriated by the legislature <when the special fund is
43-15 exhausted>.
43-16 SECTION 49. Section 155.183(a), Tax Code, is amended to read
43-17 as follows:
43-18 (a) To determine the tax liability of a person dealing in
43-19 tobacco products or compliance by the person with this chapter, the
43-20 treasurer may:
43-21 (1) inspect any premises, including a vending machine
43-22 and its contents, where tobacco products are manufactured,
43-23 produced, stored, transported, sold, or offered for sale or
43-24 exchange;
43-25 (2) remain on the premises as long as necessary to
43-26 determine the tax liability or compliance with this chapter;
43-27 (3) examine the records required by this chapter or
44-1 other records, books, documents, papers, accounts, and objects that
44-2 the treasurer determines are necessary for conducting a complete
44-3 examination; and
44-4 (4) examine stocks of tobacco products.
44-5 SECTION 50. Section 155.185, Tax Code, is amended to read as
44-6 follows:
44-7 Sec. 155.185. DEFICIENCY DETERMINATION, PENALTIES, AND
44-8 INTEREST. (a) If the treasurer has reasonable cause to believe
44-9 that a tax report or the amount of tax is inaccurate, the treasurer
44-10 may compute and determine the amount of tax, penalty, and interest
44-11 to be paid from information contained in the report or from any
44-12 other information available to the treasurer.
44-13 (b) On making a deficiency determination, the treasurer
44-14 shall notify the person by certified mail, return receipt
44-15 requested. Service by mail is complete when the notice is
44-16 received, as evidenced by return receipt from the U.S. Postal
44-17 Service.
44-18 SECTION 51. Section 155.212, Tax Code, is amended to read as
44-19 follows:
44-20 Sec. 155.212. Books and Records. A person commits an
44-21 offense if the person:
44-22 (1) knowingly makes, delivers to, and files with the
44-23 treasurer a false return or an incomplete return or report;
44-24 (2) knowingly fails to make and deliver to the
44-25 treasurer a return or report as required by this chapter;
44-26 (3) destroys, mutilates, or conceals a book or record
44-27 required by this chapter;
45-1 (4) refuses to permit the attorney general or the
45-2 treasurer to inspect and audit books and records that are required
45-3 by this chapter or that are incidental to the conduct of the
45-4 tobacco products business;
45-5 (5) knowingly makes a false entry or fails to make
45-6 entries in the books and records required by this chapter; or
45-7 (6) fails to keep books and records for four years as
45-8 required by this chapter.
45-9 SECTION 52. Section 156.001, Tax Code, is amended to read as
45-10 follows:
45-11 Sec. 156.001. Definition. In this chapter, "hotel" means a
45-12 building in which members of the public obtain sleeping
45-13 accommodations for consideration. The term includes a hotel,
45-14 motel, tourist home, tourist house, tourist court, lodging house,
45-15 inn, or rooming house. The term<, but> does not include:
45-16 (1) a hospital, sanitarium, or nursing home; or
45-17 (2) a dormitory or other housing facility owned or
45-18 leased and operated by an institution of higher education or a
45-19 private or independent institution of higher education as those
45-20 terms are defined by Section 61.003, Education Code, used by the
45-21 institution for the purpose of providing sleeping accommodations
45-22 for persons engaged in an educational program or activity at the
45-23 institution.
45-24 SECTION 53. Sections 159.101(f), (g), (h), and (i), Tax
45-25 Code, are amended to read as follows:
45-26 (f) <When the comptroller makes an assessment under this
45-27 chapter, the comptroller shall issue a determination stating the
46-1 amount and that the tax collection is in jeopardy. The amount
46-2 determined is due and payable immediately. A determination made
46-3 under this chapter becomes final on the expiration of 20 days after
46-4 the day on which the notice of the determination was served by
46-5 personal service or by mail unless a petition for a redetermination
46-6 is filed before the determination becomes final.>
46-7 <(g)> If a determination made under this chapter becomes
46-8 final without payment of the amount of the determination being
46-9 made, the comptroller shall add to the amount a penalty of 10
46-10 percent of the amount of the tax and interest.
46-11 (g) <(h)> In a redetermination proceeding held or a judicial
46-12 proceeding brought under this chapter, a certificate from the
46-13 comptroller that shows the issued determination is prima facie
46-14 evidence of:
46-15 (1) the determination of the stated tax or amount of
46-16 the tax;
46-17 (2) the stated amount of the penalties and interest;
46-18 and
46-19 (3) the compliance of the comptroller with this
46-20 chapter in computing and determining the amount due.
46-21 (h) <(i)> The suppression of evidence on any ground in a
46-22 criminal case that arises out of facts on which a determination is
46-23 made under this chapter or the dismissal of criminal charges in
46-24 such a case does not affect a determination made under this
46-25 chapter.
46-26 SECTION 54. Section 159.103, Tax Code, is amended to read as
46-27 follows:
47-1 Sec. 159.103. Exemption. The possession, purchase,
47-2 acquisition, importation, manufacture, or production of a taxable
47-3 substance is exempt from the tax imposed by this chapter if the
47-4 activity is authorized by law.
47-5 SECTION 55. The heading to Subchapter C, Chapter 159, Tax
47-6 Code, is amended to read as follows:
47-7 SUBCHAPTER C. CRIMINAL PROVISIONS<; SEIZURE AND FORFEITURE>
47-8 SECTION 56. Section 159.203, Tax Code, is amended to read as
47-9 follows:
47-10 Sec. 159.203. PREVIOUSLY USED CERTIFICATES. (a) A person
47-11 commits an offense if the person:
47-12 (1) uses, sells, offers for sale, or possesses for use
47-13 or sale previously used tax payment certificates; or
47-14 (2) attaches or causes to be attached a previously
47-15 used tax payment certificate to a taxable substance.
47-16 (b) An offense under this section is a felony of the third
47-17 degree.
47-18 (c) Venue of a prosecution under this section is in Travis
47-19 County.
47-20 SECTION 57. Section 159.205, Tax Code, is amended to read as
47-21 follows:
47-22 Sec. 159.205. RIGHT TO COLLECT SUBORDINATE TO OTHER LAWS
47-23 <FORFEITURE>. (a) <Property seized under Section 159.204 of this
47-24 code is subject to forfeiture to the state in the same manner as
47-25 provided for forfeiture of seized property under Chapter 103,
47-26 Alcoholic Beverage Code. Property forfeited to the state that is
47-27 not ordered destroyed may be used by the seizing agency for
48-1 official purposes or sold at public auction in the manner provided
48-2 by law for sheriff's sales. The proceeds from the sale of property
48-3 forfeited under this section, after satisfaction of all costs,
48-4 shall be disposed of in the manner provided for by Article 59.06,
48-5 Code of Criminal Procedure.>
48-6 <(b)> The right of the comptroller to collect the tax
48-7 imposed by this chapter, including applicable penalty and interest,
48-8 is subordinate to the right of a federal, state, or local law
48-9 enforcement authority to seize, forfeit, and retain property under
48-10 Chapter 481, Health and Safety Code; Chapter 59, Code of Criminal
48-11 Procedure; or any other criminal forfeiture law of this state or of
48-12 the United States. A lien filed by the comptroller as a result of
48-13 the failure of a dealer to pay the tax, penalty, or interest due
48-14 under this chapter is also subordinate to those rights.
48-15 (b) This section does not affect the validity of a lien or a
48-16 collection action relating to the tax imposed by this chapter under
48-17 any other circumstance.
48-18 SECTION 58. Section 159.206, Tax Code, is amended to read as
48-19 follows:
48-20 Sec. 159.206. Settlement or Compromise of Tax. <(a)> The
48-21 comptroller may settle or compromise a tax, penalty, or interest
48-22 imposed under this chapter only if:
48-23 (1) the prosecutor of a criminal offense under this
48-24 chapter or of another offense arising out of the same incident or
48-25 transaction requests in writing that the comptroller settle or
48-26 compromise and specifies the reasons for the request; and
48-27 (2) the comptroller determines that the settlement or
49-1 compromise is in the best interest of the state.
49-2 <(b) The prosecutor of a criminal offense under this chapter
49-3 or of another criminal offense arising out of the same incident or
49-4 transaction or the taxpayer or the taxpayer's representative may
49-5 request in writing that the comptroller defer an administrative
49-6 hearing on a determination made on this chapter until a trial has
49-7 been completed in the criminal case involving the same incident or
49-8 transaction or another disposition has been made of the case. The
49-9 comptroller may comply with a request to defer an administrative
49-10 hearing if the comptroller determines that the deferral would be in
49-11 the best interest of the state. This subsection does not prohibit
49-12 the comptroller from filing a lien or taking any other action to
49-13 collect the tax in the manner permitted under this code before the
49-14 conclusion of an administrative hearing.>
49-15 SECTION 59. Section 201.201, Tax Code, is amended to read as
49-16 follows:
49-17 Sec. 201.201. Tax Due. The tax imposed by this chapter for
49-18 gas produced and saved is due at the office of the comptroller in
49-19 Austin on the 20th <last> day of the second <each calendar> month
49-20 following the month of production <for gas produced and saved
49-21 during the preceding calendar month>.
49-22 SECTION 60. Section 361.138, Health and Safety Code, is
49-23 amended by amending Subsection (a) and by adding Subsections (l),
49-24 (m), and (n) to read as follows:
49-25 (a) In this section:
49-26 (1) "Engaged in business in this state" has the
49-27 meaning provided under Sections 151.107(a) and (b), Tax Code.
50-1 (2) "Lead-acid<, "lead-acid> battery" means any
50-2 battery which contains lead and sulfuric acid.
50-3 (3) "Purchased for resale" means acquired by means of
50-4 a sale for resale as defined in Section 151.006, Tax Code.
50-5 (4) "Storage" and "use" have the meanings assigned
50-6 those terms by Section 151.011, Tax Code.
50-7 (l) A fee is imposed on the storage, use, or other
50-8 consumption in this state of a lead-acid battery, unless purchased
50-9 for resale, at the same rate as provided by Subsection (b).
50-10 (m) A person storing, using, or consuming a lead-acid
50-11 battery in this state is liable for the fee imposed by Subsection
50-12 (l) and is responsible for reporting and paying it to the
50-13 comptroller in the same manner as a person required to collect the
50-14 fee provided for in Subsections (c)(2) and (d).
50-15 (n) A person storing, using, or consuming a lead-acid
50-16 battery in this state is not liable for the fee if the person pays
50-17 the fee to a wholesaler or retailer engaged in business in this
50-18 state or other person authorized by the comptroller to collect the
50-19 fee and receives from the person a receipt showing that the fee has
50-20 been paid.
50-21 SECTION 61. Section 361.472, Health and Safety Code, is
50-22 amended by adding Subsection (k) to read as follows:
50-23 (k) In this section:
50-24 (1) "Engaged in business in this state" has the
50-25 meaning provided under Sections 151.107(a) and (b), Tax Code.
50-26 (2) "Purchased for resale" means acquired by means of
50-27 a sale for resale as defined in Section 151.006, Tax Code.
51-1 (3) "Storage" and "use" have the meanings assigned
51-2 those terms by Section 151.011, Tax Code.
51-3 SECTION 62. Section 361.472(c), Health and Safety Code, is
51-4 amended to read as follows:
51-5 (c) A fee may not be assessed for a bicycle tire or a solid
51-6 industrial tire.
51-7 SECTION 63. Section 4A(e), Development Corporation Act of
51-8 1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to
51-9 read as follows:
51-10 (e) The Municipal Sales and Use Tax Act (Chapter 321, Tax
51-11 Code) governs an election to authorize the imposition of the sales
51-12 and use tax under this section and governs the imposition,
51-13 computation, administration, governance, abolition, and use of the
51-14 tax except as inconsistent with this section. The tax imposed
51-15 under this section <If an election is held under Subsection (f) of
51-16 this section at the same time as another election under this
51-17 section and an additional sales and use tax under Section
51-18 321.101(b), Tax Code, is adopted or repealed or its rate is
51-19 increased or reduced, each tax under this section and the
51-20 imposition or change in the rate of the additional sales and use
51-21 tax> takes effect as provided by Section 321.102(a) <321.102(b)>,
51-22 Tax Code.
51-23 SECTION 64. Sections 12(3) and (6), Article 8817, Revised
51-24 Statutes, are amended to read as follows:
51-25 (3) The application shall be accompanied by a <sworn>
51-26 written statement executed by the individual designated to maintain
51-27 the records and make reports that he is aware of and accepts this
52-1 responsibility.
52-2 (6) The application must contain a statement that the
52-3 information contained in it is true and correct<, and this
52-4 statement shall be made under oath>.
52-5 SECTION 65. Section 19(1), Article 8817, Revised Statutes,
52-6 is amended to read as follows:
52-7 (1) The Comptroller may not issue a general business <or
52-8 import> license for a business under this Article if the
52-9 Comptroller finds that the applicant:
52-10 (a) has been finally convicted of a felony in a court
52-11 of competent jurisdiction during the five years preceding the
52-12 filing of the application; or
52-13 (b) has been on probation or parole as a result of a
52-14 felony conviction during the two years preceding the filing of the
52-15 application.
52-16 SECTION 66. Section 159.204, Tax Code, is repealed.
52-17 SECTION 67. (a) The change in law made by this Act does not
52-18 affect the collection or the enforcement of the payment of taxes
52-19 imposed before the effective date of this Act, and the law in
52-20 effect before the effective date of this Act is continued in effect
52-21 for purposes of the liability for and collection of those taxes.
52-22 This subsection does not apply to the change to Section 201.201,
52-23 Tax Code, as amended by this Act, for taxes made due by that
52-24 section in the second month after the effective date of that
52-25 section.
52-26 (b) The change in law made to Chapter 159, Tax Code, by this
52-27 Act applies only to a violation of the penal law of this state that
53-1 occurs on or after the effective date of this Act. A violation of
53-2 the penal law of this state occurs on or after the effective date
53-3 of this Act if any element of the violation occurs on or after that
53-4 date.
53-5 (c) A violation of the penal law of this state that occurs
53-6 before the effective date of this Act is governed by the law in
53-7 effect at the time the violation occurred, and that law is
53-8 continued in effect for that purpose.
53-9 (d) The legislature intends that Sections 151.318(b)(2) and
53-10 (q), Tax Code, as added by this Act, other than the last two
53-11 sentences of Subsection (q), be considered as a clarification of
53-12 existing law and not a substantive change.
53-13 SECTION 68. If legislation is enacted transferring the
53-14 responsibilities of the treasurer to the comptroller, the
53-15 comptroller shall administer this Act consistent with that
53-16 legislation.
53-17 SECTION 69. This Act takes effect October 1, 1995.
53-18 SECTION 70. The importance of this legislation and the
53-19 crowded condition of the calendars in both houses create an
53-20 emergency and an imperative public necessity that the
53-21 constitutional rule requiring bills to be read on three several
53-22 days in each house be suspended, and this rule is hereby suspended.