By:  Wilson                                                       H.B. No. 3137



A BILL TO BE ENTITLED

AN ACT

relating to state taxes and fees.                                             

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                       
	SECTION 1.  Section 151.0031, Tax Code, is amended to read as 
follows:       
	Sec. 151.0031.  "COMPUTER PROGRAM."  "Computer program" 
means a series of instructions that are coded for acceptance or use 
by a computer system and that are designed to permit the computer 
system to process data and provide results and information. The 
series of instructions may be contained in or on magnetic tapes, 
punched cards, printed instructions, or other tangible or 
electronic media. For purposes of this chapter, the term includes a 
computer program created or developed exclusively for a client who 
retains all rights to the program.
	SECTION 2.  Section 151.0101(a), Tax Code, is amended to 
read as follows:    
	(a)  "Taxable services" means:                                                 
		(1)  amusement services;                                                      
		(2)  cable television services;                                               
		(3)  personal services;                                                       
		(4)  motor vehicle parking and storage services;                              
		(5)  the repair, remodeling, maintenance, and 
restoration of tangible personal property, except:
			(A)  aircraft;                                                               
			(B)  a ship, boat, or other vessel, other than:                              
				(i)  a taxable boat or motor as defined by 
Section 160.001;               
				(ii)  a sports fishing boat;  or                                            
				(iii)  any other vessel used for pleasure; 
and                     
			(C)  the repair, maintenance, and restoration of a 
motor vehicle; [and
			(D)  the repair, maintenance, creation, and 
restoration of a computer program, including its development and 
modification, not sold by the person performing the repair, 
maintenance, creation, or restoration service;]
		(6)  telecommunications services;                                             
		(7)  credit reporting services;                                               
		(8)  debt collection services;                                                
		(9)  insurance services;                                                      
		(10)  information services;                                                   
		(11)  real property services;                                                 
		(12)  data processing services;                                               
		(13)  real property repair and remodeling;                                    
		(14)  security services;                                                      
		(15)  telephone answering services;                                           
		(16)  Internet access service;  and                                           
		(17)  a sale by a transmission and distribution 
utility, as defined in Section 31.002, Utilities Code, of 
transmission or delivery of service directly to an electricity 
end-use customer whose consumption of electricity is subject to 
taxation under this chapter.
	SECTION 3.  Section 154.021(b), Tax Code, is amended to read 
as follows:     
	(b)  The tax rates are:                                                        
		(1)  $20.55 [$20.50] per thousand on cigarettes 
weighing three pounds or less per thousand; and
		(2)  the rate provided by Subdivision (1) plus $2.10 
per thousand on cigarettes weighing more than three pounds per 
thousand.
	SECTION 4.  Section 201.052(a), Tax Code, is amended to read 
as follows:     
	(a)  The tax imposed by this chapter is at the rate of $7.4
[7.5] percent of the market value of gas produced and saved in this 
state by the producer.
	SECTION 5.  Section 1301.062(a), Occupations Code, is 
amended to read as follows:
	(a)  A person who applies for or renews a certificate under 
this subchapter must pay an annual fee of $15 [$10].
	SECTION 6.  This Act takes effect September 1, 2003.