SRC-TJG S.B. 1780 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 1780
By: Ogden
Finance
5/2/2003
As Filed


DIGEST AND PURPOSE 

Currently, a corporation is unable to claim a franchise tax credit for
certain qualified capital investments.  As proposed, S.B. 1780 authorizes
a corporation to claim a franchise tax credit for certain qualified
capital investments. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 171.802, Tax Code, by adding Subsection (d) to
authorize a corporation to claim a credit or take a carryforward credit
for a qualified capital investment made on or after January 1, 2003,
without regard to whether the county in which it makes the qualified
capital investment has lost its designation as a strategic investment area
if the corporation committed to the investment in the county before
January 2003; at the time the corporation made the commitment, the county
was designed as a strategic investment area; the total investment is at
least $100 million; and the county has a population of less than 15,400. 

SECTION 2.  Effective date: September 1, 2003.