C.S.H.B. 202 78(R)    BILL ANALYSIS


C.S.H.B. 202
By: Berman
Ways & Means
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Currently, numerous types of vehicles are exempt from taxation, including
certain types of emergency vehicles.  Among vehicles not included,
however, are those used by nonprofit organizations for disaster relief.
C.S.H.B. 202 exempts these vehicles from taxation.  

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 

ANALYSIS

C.S.H.B. 202 amends the Tax Code to exempt from taxation any vehicle that
is purchased or used by a nonprofit organization primarily for disaster
relief.  For purposes of this bill, a nonprofit organization is defined as
any organization that meets the criteria described in Section 501 of the
Internal Revenue Code.  

EFFECTIVE DATE

September 1, 2003.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 202 excludes vehicles used for humanitarian purposes from the tax
exemption.