By Oliveira                                           H.B. No. 3275
         77R7407 DAK-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to exempting certain school mathematics instruments from
 1-3     the sales and use tax for a limited time.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Subchapter H, Chapter 151, Tax Code, is amended by
 1-6     adding Section 151.3264 to read as follows:
 1-7           Sec. 151.3264.  SCHOOL MATHEMATICS INSTRUMENTS FOR A LIMITED
 1-8     TIME.  A tangible item is exempt from the taxes imposed by this
 1-9     chapter if the sale of the item takes place during the period
1-10     specified in Section 151.326(a) and if:
1-11                 (1)  the sales price of the item is less than $5 and
1-12     the item is:
1-13                       (A)  a ruler that is 15 inches in length or
1-14     shorter;
1-15                       (B)  a protractor;
1-16                       (C)  a compass; or
1-17                       (D)  a square; or
1-18                 (2)  the sales price of the item is less than $30 and
1-19     the item is a calculator.
1-20           SECTION 2. (a)  This Act takes effect July 1, 2001, if it
1-21     receives a vote of two-thirds of all the members elected to each
1-22     house, as provided by Section 39, Article III, Texas Constitution.
1-23     If this Act does not receive the vote necessary for effect on that
1-24     date, this Act takes effect October 1, 2001.
 2-1           (b)  The change in law made by this Act does not affect taxes
 2-2     imposed before the effective date of this Act, and the law in
 2-3     effect before the effective date of this Act is continued in effect
 2-4     for purposes of the liability for and collection of those taxes.