SRC-JXG C.S.S.B. 779 76(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 779
76R9644 SMH-DBy: Madla
Intergovernmental Relations
3/25/1999
Committee Report (Substituted)


DIGEST 

Currently, Texas law does not allow the county tax assessor collector to
accept tax payments electronically. However, the State of Texas may require
businesses making large tax payments to the state to be paid
electronically. C.S.S.B. 779 would authorize the county tax assessor
collector to require banks and mortgage companies making aggregate payments
in excess of a certain amount to transfer funds electronically. 

PURPOSE

As proposed, C.S.S.B. 779 authorizes banks and mortgage companies making
aggregate payments in excess of a certain amount to transfer funds
electronically to the county tax assessor collector. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 31.01(c), Tax Code, to require the tax bill or a
separate statement accompanying the tax bill to state that the tax must be
paid by electronic funds transfer, if the taxing unit requires payment by
that means. Makes conforming and nonsubstantive changes. 

SECTION 2. Amends Section 31.06(a), Tax Code, to authorize a collector to
accept a check or money order in payment of taxes, and to accept payment by
credit card or electronic funds transfer. Authorizes a collector to require
a person to pay taxes by electronic funds transfer, if the taxes imposed on
the person's property by all of the taxing units for which the collector
collects taxes equaled $250,000 or more in the preceding tax year, and
equal $10,000 or more in the current tax year.  

SECTION 3. Emergency clause.
           Effective date: upon passage.



SUMMARY OF COMMITTEE CHANGES

SECTION 1.

Amends Section 31.01(c), Tax Code, to require the tax bill or a separate
statement accompanying the tax bill to state that the tax must be paid by
electronic funds transfer, if the taxing unit requires payment by that
means. Deletes proposed text regarding processing fees for electronic
funds. Makes conforming and nonsubstantive changes. 

SECTION 2. 

Amends Section 31.06(a), Tax Code, to authorize a collector to require a
person to pay taxes by electronic funds transfer, if the taxes imposed on
the person's property by all of the taxing units for which the collector
collects taxes equaled $250,000 or more in the preceding tax  year, and
equal $10,000 or more in the current tax year.  

Deletes proposed Subsection (e), Section 31.06, Tax Code, authorizing the
collector to collect a fee for processing payments.