By Truan S.B. No. 817
75R4264 CBH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the payment of sales and use tax on tangible personal
1-3 property exported from this state.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 151.307, Tax Code, is amended by amending
1-6 Subsection (b) and adding Subsection (e) to read as follows:
1-7 (b) When an exemption is claimed because tangible personal
1-8 property is exported beyond the territorial limits of the United
1-9 States, proof of export may be shown only by:
1-10 (1) a bill of lading issued by a licensed and
1-11 certificated carrier of persons or property or by a forwarding
1-12 agent showing the seller as consignor, the buyer as consignee, and
1-13 a delivery point outside the territorial limits of the United
1-14 States;
1-15 (2) documentation:
1-16 (A) provided by a United States Customs Broker
1-17 licensed by the comptroller under Section 151.157;
1-18 (B) certifying that delivery was made to a point
1-19 outside the territorial limits of the United States; and
1-20 (C) to which a stamp issued under Section
1-21 151.158 is affixed in the manner required by that section or
1-22 Section 151.157;
1-23 (3) import documents from the country of destination
1-24 showing that the property was imported into a country other than
2-1 the United States;
2-2 (4) an original airway, ocean, or railroad bill of
2-3 lading and a forwarder's receipt if an air, ocean, or rail freight
2-4 forwarder takes possession of the property; or
2-5 (5) any other manner provided by the comptroller for
2-6 an enterprise authorized to make tax-free purchases under Section
2-7 151.156.
2-8 (e) Notwithstanding any other provision of this chapter, a
2-9 retailer who sells tangible personal property that the retailer
2-10 exports beyond the territorial limits of the United States is not
2-11 required to collect the tax imposed by this chapter on the sale.
2-12 The retailer shall retain proof of export of the property in
2-13 accordance with Subsection (a).
2-14 SECTION 2. Sections 151.330(a) and (d), Tax Code, are
2-15 amended to read as follows:
2-16 (a) The sale of tangible personal property that under the
2-17 sales contract is shipped to a point outside this state is exempted
2-18 from the sales tax imposed by Subchapter C of this chapter if the
2-19 shipment is made by the seller by means of:
2-20 (1) the facilities of the seller;
2-21 (2) delivery by the seller to a carrier for shipment
2-22 to a consignee at a point outside this state; or
2-23 (3) delivery by the seller to a forwarding agent for
2-24 shipment to a location outside this state [in another state of the
2-25 United States or its territories or possessions].
2-26 (d) If, pursuant to [Subdivision (2) of] Subsection (a)(2)
2-27 or (a)(3) [(a) of this section] a delivery is made to a carrier or
3-1 forwarding agent for shipment to a location outside the United
3-2 States, then the seller must maintain the same documents required
3-3 by Subsection (b) of Section 151.307 of this chapter.
3-4 SECTION 3. (a) This Act takes effect October 1, 1997.
3-5 (b) The change in law made by this Act does not affect taxes
3-6 imposed before the effective date of this Act, and the law in
3-7 effect before that date is continued in effect for purposes of the
3-8 liability for and collection of those taxes.
3-9 SECTION 4. The importance of this legislation and the
3-10 crowded condition of the calendars in both houses create an
3-11 emergency and an imperative public necessity that the
3-12 constitutional rule requiring bills to be read on three several
3-13 days in each house be suspended, and this rule is hereby suspended.