HBA-SEB H.B. 209 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 209 By: Cuellar Ways & Means 2/9/1999 Introduced BACKGROUND AND PURPOSE Currently, a sales tax is imposed on school supplies. H.B. 209 exempts school supplies from the tax if they are required by a student in a public or private elementary or secondary school, if they appear on a list issued by the teacher before the school year begins, and if they are purchased in the month of August. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter H, Chapter 151, Tax Code, by adding Section 151.326, as follows: Sec. 151.326. SCHOOL SUPPLIES PRIOR TO START OF SCHOOL. Establishes that certain school supplies are exempted from the taxes imposed by this chapter (Limited Sales, Excise, and Use Tax). Sets forth the guidelines for the tax exemptions. Provides that the purchaser give the seller an exemption certificate verifying that the tangible item qualifies as exempt from taxes, unless the seller of the item maintains a separate section or display that contains only exempt items. SECTION 2. Provides that this Act takes effect on the first day of the first calendar quarter beginning on or after 90 days after adjournment. Makes application of this Act prospective. SECTION 3. Emergency clause. Effective date: upon passage.