By Lewis of Orange H.B. No. 1100
77R9610 SMH-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the presumption that certain vessels and other
1-3 watercraft are located in this state only temporarily for ad
1-4 valorem tax purposes.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 21.031, Tax Code, is amended by amending
1-7 Subsection (c) and adding Subsections (g) and (h) to read as
1-8 follows:
1-9 (c) A vessel or other watercraft used as an instrumentality
1-10 of commerce or a special-purpose vessel or other watercraft not
1-11 used as an instrumentality of commerce that is used outside this
1-12 state and is in this state solely to be converted, repaired,
1-13 stored, or inspected is presumed to be in interstate,
1-14 international, or foreign commerce and not located in this state
1-15 for longer than a temporary period for purposes of Sections 11.01
1-16 and 21.02 [of this code].
1-17 (g) A vessel or other watercraft to be used as an
1-18 instrumentality of commerce or a special-purpose vessel or other
1-19 watercraft not to be used as an instrumentality of commerce that is
1-20 under construction in this state is presumed to be in interstate,
1-21 international, or foreign commerce and not located in this state
1-22 for longer than a temporary period for purposes of Sections 11.01
1-23 and 21.02.
1-24 (h) Tangible personal property in this state is presumed to
2-1 be in interstate, international, or foreign commerce and not
2-2 located in this state for longer than a temporary period for
2-3 purposes of Sections 11.01 and 21.02 if the owner demonstrates to
2-4 the chief appraiser that the owner intends to incorporate the
2-5 property in or attach the property to an identified vessel or other
2-6 watercraft described by Subsection (c) or (g).
2-7 SECTION 2. This Act takes effect January 1, 2002.