By Gutierrez                                          H.B. No. 2372
         76R8440 DAK-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to exempting certain drugs and medicines from the sales
 1-3     tax.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 151.313(a), Tax Code, is amended to read
 1-6     as follows:
 1-7           (a)  The following items are exempted from the taxes imposed
 1-8     by this chapter:
 1-9                 (1)  a drug or medicine as the comptroller shall by
1-10     rule define, using categories established by the federal Food and
1-11     Drug Administration [, other than insulin, if prescribed or
1-12     dispensed for a human or animal by a licensed practitioner of the
1-13     healing arts];
1-14                 (2)  insulin;
1-15                 (3)  a hypodermic syringe or needle;
1-16                 (4)  a brace; hearing aid or audio loop; orthopedic,
1-17     dental, or prosthetic device;  ileostomy, colostomy, or ileal
1-18     bladder appliance; or  supplies or replacement parts for the listed
1-19     items;
1-20                 (5)  a therapeutic appliance, device, and any related
1-21     supplies specifically designed for those products, if dispensed or
1-22     prescribed by a licensed practitioner of the healing arts, when
1-23     those items are purchased and used by an individual for whom the
1-24     items listed in this subdivision were dispensed or prescribed;
 2-1                 (6)  corrective lens and necessary and related
 2-2     supplies, if dispensed or prescribed by an ophthalmologist or
 2-3     optometrist;
 2-4                 (7)  specialized printing or signalling equipment used
 2-5     by the deaf for the purpose of enabling the deaf to communicate
 2-6     through the use of an ordinary telephone and all materials, paper,
 2-7     and printing ribbons used in that equipment;
 2-8                 (8)  a braille wristwatch, braille writer, braille
 2-9     paper and braille electronic equipment that connects to computer
2-10     equipment, and the necessary adaptive devices and adaptive computer
2-11     software;
2-12                 (9)  each of the following items if purchased for use
2-13     by the blind to enable them to function more independently:  a
2-14     slate and stylus, print enlarger, light probe, magnifier, white
2-15     cane, talking clock, large print terminal, talking terminal, or
2-16     harness for guide dog; and
2-17                 (10)  hospital beds.
2-18           SECTION 2.  (a)  This Act takes effect on the first day of
2-19     the first calendar quarter beginning on or after the date that it
2-20     may take effect under Section 39, Article III, Texas Constitution.
2-21           (b)  The change in law made by this Act does not affect taxes
2-22     imposed before the effective date of this Act, and the law in
2-23     effect before the effective date of this Act is continued in effect
2-24     for purposes of the liability for and collection of those taxes.
2-25           SECTION 3.  The importance of this legislation and the
2-26     crowded condition of the calendars in both houses create an
2-27     emergency and an imperative public necessity that the
 3-1     constitutional rule requiring bills to be read on three several
 3-2     days in each house be suspended, and this rule is hereby suspended,
 3-3     and that this Act take effect and be in force according to its
 3-4     terms, and it is so enacted.