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.