78R1213 SMJ-D

By:  Merritt                                                      H.B. No. 184


A BILL TO BE ENTITLED
AN ACT
relating to the application of the sales tax to United States and Texas flags. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter H, Chapter 151, Tax Code, is amended by adding Section 151.334 to read as follows: Sec. 151.334. UNITED STATES AND TEXAS FLAGS. (a) In this section, "flag" means an emblem, banner, or other standard or a copy of an emblem, banner, or standard that is an official or commonly recognized depiction of the flag of the United States or of this state and is capable of being flown from a staff of any character or size. The term does not include a representation of a flag on a written or printed document, a periodical, stationery, a painting or photograph, or an article of clothing or jewelry. (b) The sale of the flag of the United States or the flag of the State of Texas is exempted from the taxes imposed by this chapter. SECTION 2. (a) This Act takes effect October 1, 2003. (b) The change in law made by this Act does not affect taxes imposed before the effective date of this Act, and the law in effect before the effective date of this Act is continued in effect for the purposes of the liability for and collection of those taxes.