Floor Packet Page No. 222
      Amend CSHB 4 as follows:
      (1)  On page 152, line 13, strike "4.5" and substitute "6.5
<4.5>".
      (2)  On page 152, strike lines 24 and 25, and substitute the
following:
      SECTION 3.03.  Sections 171.002(a), (b), and (d), Tax Code,
are amended to read as follows:
      (a)  The rates of the franchise tax are:
            (1) 0.25 percent per year of privilege period of net
taxable capital; and
            (2) 6.5 <4.5> percent of net taxable earned surplus.
      (3)  On page 214, line 5, through page 275, line 14, strike
ARTICLE 4 of the bill and substitute a new ARTICLE 4 to read as
follows:
                       ARTICLE 4.  SALES TAX
      SECTION 4.01.  Section 151.051(b), Tax Code, is amended to
read as follows:
      (b)  The sales tax rate is 6-3/4 <6 1/4> percent of the sales
price of the taxable item sold.
      SECTION 4.02.  This article takes effect October 1, 1997.
      (4)  On page 275, line 15, through page 393, line 22, strike
ARTICLES 5-21 of the bill.
      (5)  Renumber Article 22 as Article 5 and renumber the
sections in Article 5 appropriately.
      (Stiles in the chair)