This website will be unavailable from Thursday, May 30, 2024 at 6:00 p.m. through Monday, June 3, 2024 at 7:00 a.m. due to data center maintenance.
79R15334 CLG-F
By: Ritter H.B. No. 3249
Substitute the following for H.B. No. 3249:
By: Cook of Navarro C.S.H.B. No. 3249
A BILL TO BE ENTITLED
AN ACT
relating to the enterprise zone program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2303.4072, Government Code, is amended
to read as follows:
Sec. 2303.4072. ENTERPRISE PROJECT CLAIM FOR STATE BENEFIT.
A person must make a claim to the comptroller for a state benefit as
prescribed under this chapter and Chapters 151 and 171, Tax Code,
not later than six [18] months after the date on which the term of
the enterprise project designation expires as provided by Section
2303.404.
SECTION 2. The heading to Section 2303.504, Government
Code, as effective September 1, 2005, is amended to read as follows:
Sec. 2303.504. STATE TAX REFUNDS AND CREDITS; REPORT.
SECTION 3. Sections 2303.504(a) and (c), Government Code,
as effective September 1, 2005, are amended to read as follows:
(a) Subject to Section 2303.516, an enterprise project is
entitled to:
(1) a refund of state taxes under Section 151.429, Tax
Code; and
(2) a franchise tax credit under Subchapter P or Q,
Chapter 171, Tax Code.
(c) Not later than the 60th day after the last day of each
fiscal year, the comptroller shall report to the bank the statewide
total of actual jobs created, actual jobs retained, and the tax
refunds and credits made under this section during that fiscal
year.
SECTION 4. Sections 2303.516(b) and (d), Government Code,
are amended to read as follows:
(b) The comptroller [bank] may determine that the business
or project is not entitled to a refund or credit of state taxes
under Section 2303.504(a) if the comptroller [bank] finds that:
(1) the business or project is not willing to
cooperate with the comptroller [bank] in providing the comptroller
[bank] with the information the comptroller [bank] needs to
determine state benefits [make the determination under Subsection
(a)]; or
(2) the business or project has substantially failed
to follow through on any commitments made by it or on its behalf
under this chapter.
(d) A qualified business may obtain a state benefit, earned
through a specific enterprise project designation, on completion
of:
(1) a certification of the project or activity for
completeness that is conducted [an audit performed] by the
comptroller to verify [that will certify] hiring commitments of a
qualified business under this chapter;
(2) a certification conducted by the comptroller to
verify [and] eligible purchases of taxable items made by or on
behalf of the [a] qualified business under this chapter; and
(3) a verification of the capital investment for the
project or activity, conducted by the comptroller, to determine the
level of benefit achieved by the qualified business.
SECTION 5. Section 2303.517, Government Code, is amended to
read as follows:
Sec. 2303.517. REPORT. Before obtaining a state benefit,
the qualified business must submit to the comptroller [bank] a
certified report of the actual number of jobs created or retained
and the capital investment made at or committed to the qualified
business site.
SECTION 6. Section 151.429(a), Tax Code, as effective
September 1, 2005, is amended to read as follows:
(a) An enterprise project is eligible for a refund in the
amount provided by this section of the taxes imposed by this chapter
on purchases of taxable items[:
[(1) equipment or machinery sold to an enterprise
project for use at the qualified business site;
[(2) building materials sold to an enterprise project
for use in remodeling, rehabilitating, or constructing a structure
at the qualified business site;
[(3) labor for remodeling, rehabilitating, or
constructing a structure by an enterprise project at the qualified
business site; and
[(4) electricity and natural gas purchased and
consumed in the normal course of business at the qualified business
site].
SECTION 7. Section 171.721(2), Tax Code, is amended to read
as follows:
(2) "Strategic investment area" means an area that is
determined by the comptroller under Section 171.726 that is:
(A) a county within this state with above state
average unemployment and below state average per capita income;
(B) an area within this state that is a federally
designated empowerment zone or renewal community [urban enterprise
community or an urban enhanced enterprise community]; or
(C) a defense economic readjustment zone
designated under Chapter 2310, Government Code.
SECTION 8. Section 2303.516(c), Government Code, is
repealed.
SECTION 9. This Act takes effect September 1, 2005.