Honorable Frank Madla, Chair, Senate Committee on Intergovernmental Relations
FROM:
John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:
HB1471 by Hegar (Relating to the collection and administration of an occupation tax owed to a county.), As Engrossed
No fiscal implication to the State is anticipated.
The bill would amend Chapter 112 of the Local Government Code by mandating the county tax assessor-collector instead of the county clerk issue an occupation tax license, keep an occupation tax account, and mail a copy of the monthly occupation tax report, which relates to licenses issued on taxes paid to the state, to the Comptroller of Public Accounts. In addition, the tax assessor-collector must place the tax into the county treasury. The bill would also require that a second copy of the monthly occupation tax report be filed with a county officer designated by the commissioners court. The bill would take effect on September 1, 2005.
Local Government Impact
The Comptroller of Public Accounts reports that the counties they contacted either do not collect an occupation tax or collected very little; therefore, the counties anticipate little or no fiscal impact as a result of implementation of the bill. The counties contacted by the Legislative Budget Board indicated little or no fiscal impact as well, because they either already have these processes in place or do not collect the tax. The Texas Association of Counties reports that the counties it contacted stated there would be an insignificant fiscal impact because so few counties collect an occupation tax.