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Amend HB 3314 by adding the following appropriately numbered
SECTIONS and renumbering subsequent SECTIONS accordingly:
SECTION __. Section 162.104(a), Tax Code, is amended to
read as follows:
(a) The tax imposed by this subchapter does not apply to
gasoline:
(1) sold to the United States for its exclusive use,
provided that the exemption does not apply with respect to fuel sold
or delivered to a person operating under a contract with the United
States;
(2) sold to a public school district in this state for
the district's exclusive use;
(3) sold to a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the gasoline only to provide those services;
(4) exported by either a licensed supplier or a
licensed exporter from this state to any other state, provided
that:
(A) for gasoline in a situation described by
Subsection (d), the bill of lading indicates the destination state
and the supplier collects the destination state tax; or
(B) for gasoline in a situation described by
Subsection (e), the bill of lading indicates the destination state,
the gasoline is subsequently exported, and the exporter is licensed
in the destination state to pay that state's tax and has an
exporter's license issued under this subchapter;
(5) moved by truck or railcar between licensed
suppliers or licensed permissive suppliers and in which the
gasoline removed from the first terminal comes to rest in the second
terminal, provided that the removal from the second terminal rack
is subject to the tax imposed by this subchapter;
(6) delivered or sold into a storage facility of a
licensed aviation fuel dealer from which gasoline will be delivered
solely into the fuel supply tanks of aircraft or aircraft servicing
equipment, or sold from one licensed aviation fuel dealer to
another licensed aviation fuel dealer who will deliver the aviation
fuel exclusively into the fuel supply tanks of aircraft or aircraft
servicing equipment; or
(7) exported to a foreign country if the bill of lading
indicates the foreign destination and the fuel is actually exported
to the foreign country.
SECTION __. Section 162.125(a), Tax Code, is amended to
read as follows:
(a) A license holder may take a credit on a return for the
period in which the sale occurred if the license holder paid tax on
the purchase of gasoline and subsequently resells the gasoline
without collecting the tax to:
(1) the United States government for its exclusive
use, provided that a credit is not allowed for gasoline used by a
person operating under contract with the United States;
(2) a public school district in this state for the
district's exclusive use;
(3) an exporter licensed under this subchapter if the
seller is a licensed supplier or distributor and the exporter
subsequently exports the gasoline to another state;
(4) a licensed aviation fuel dealer if the seller is a
licensed distributor; or
(5) a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the gasoline exclusively to provide those services.
SECTION __. Subchapter B, Chapter 162, Tax Code, is amended
by adding Section 162.1275 to read as follows:
Sec. 162.1275. REFUND FOR CERTAIN METROPOLITAN RAPID
TRANSIT AUTHORITIES. (a) Except as otherwise provided by this
section, a metropolitan rapid transit authority operating under
Chapter 451, Transportation Code, that is a party to a contract
governed by Section 34.008, Education Code, is entitled to a refund
of taxes paid under this subchapter for gasoline used to provide
services under the contract and may file a refund claim with the
comptroller for the amount of those taxes.
(b) The refund claim under Subsection (a) must contain
information regarding:
(1) vehicle mileage;
(2) hours of service provided;
(3) fuel consumed;
(4) the total number of student passengers per route;
and
(5) the total number of non-student passengers per
route.
(c) If in any month of a school year the number of
non-student passengers is greater than five percent of the total
passengers for any single route under a contract governed by
Section 34.008, Education Code, the metropolitan rapid transit
authority is not entitled to a refund of taxes paid under this
subchapter for the route for that month.
(d) A metropolitan rapid transit authority that requests a
refund under this section shall maintain all supporting
documentation relating to the refund until the sixth anniversary of
the date of the request.
SECTION __. Section 162.204(a), Tax Code, is amended to
read as follows:
(a) The tax imposed by this subchapter does not apply to:
(1) diesel fuel sold to the United States for its
exclusive use, provided that the exemption does not apply to diesel
fuel sold or delivered to a person operating under a contract with
the United States;
(2) diesel fuel sold to a public school district in
this state for the district's exclusive use;
(3) diesel fuel sold to a commercial transportation
company or a metropolitan rapid transit authority operating under
Chapter 451, Transportation Code, that provides public school
transportation services to a school district under Section 34.008,
Education Code, and that uses the diesel fuel only to provide those
services;
(4) diesel fuel exported by either a licensed supplier
or a licensed exporter from this state to any other state, provided
that:
(A) for diesel fuel in a situation described by
Subsection (d), the bill of lading indicates the destination state
and the supplier collects the destination state tax; or
(B) for diesel fuel in a situation described by
Subsection (e), the bill of lading indicates the destination state,
the diesel fuel is subsequently exported, and the exporter is
licensed in the destination state to pay that state's tax and has an
exporter's license issued under this subchapter;
(5) diesel fuel moved by truck or railcar between
licensed suppliers or licensed permissive suppliers and in which
the diesel fuel removed from the first terminal comes to rest in the
second terminal, provided that the removal from the second terminal
rack is subject to the tax imposed by this subchapter;
(6) diesel fuel delivered or sold into a storage
facility of a licensed aviation fuel dealer from which the diesel
fuel will be delivered solely into the fuel supply tanks of aircraft
or aircraft servicing equipment, or sold from one licensed aviation
fuel dealer to another licensed aviation fuel dealer who will
deliver the diesel fuel exclusively into the fuel supply tanks of
aircraft or aircraft servicing equipment;
(7) diesel fuel exported to a foreign country if the
bill of lading indicates the foreign destination and the fuel is
actually exported to the foreign country;
(8) dyed diesel fuel sold or delivered by a supplier to
another supplier and dyed diesel fuel sold or delivered by a
supplier or distributor into the bulk storage facility of a dyed
diesel fuel bonded user or to a purchaser who provides a signed
statement as provided by Section 162.206;
(9) the volume of water, fuel ethanol, biodiesel, or
mixtures thereof that are blended together with taxable diesel fuel
when the finished product sold or used is clearly identified on the
retail pump, storage tank, and sales invoice as a combination of
diesel fuel and water, fuel ethanol, biodiesel, or mixtures
thereof;
(10) dyed diesel fuel sold by a supplier or permissive
supplier to a distributor, or by a distributor to another
distributor;
(11) dyed diesel fuel delivered by a license holder
into the fuel supply tanks of railway engines, motorboats, or
refrigeration units or other stationary equipment powered by a
separate motor from a separate fuel supply tank;
(12) dyed kerosene when delivered by a supplier,
distributor, or importer into a storage facility at a retail
business from which all deliveries are exclusively for heating,
cooking, lighting, or similar nonhighway use; or
(13) diesel fuel used by a person, other than a
political subdivision, who owns, controls, operates, or manages a
commercial motor vehicle as defined by Section 548.001,
Transportation Code, if the fuel:
(A) is delivered exclusively into the fuel supply
tank of the commercial motor vehicle; and
(B) is used exclusively to transport passengers
for compensation or hire between points in this state on a fixed
route or schedule.
SECTION __. Section 162.227(a), Tax Code, is amended to
read as follows:
(a) A license holder may take a credit on a return for the
period in which the sale occurred if the license holder paid tax on
the purchase of diesel fuel and subsequently resells the diesel
fuel without collecting the tax to:
(1) the United States government for its exclusive
use, provided that a credit is not allowed for gasoline used by a
person operating under a contract with the United States;
(2) a public school district in this state for the
district's exclusive use;
(3) an exporter licensed under this subchapter if the
seller is a licensed supplier or distributor and the exporter
subsequently exports the diesel fuel to another state;
(4) a licensed aviation fuel dealer if the seller is a
licensed distributor; or
(5) a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the diesel fuel exclusively to provide those
services.
SECTION __. Subchapter C, Chapter 162, Tax Code, is amended
by adding Section 162.2275 to read as follows:
Sec. 162.2275. REFUND FOR CERTAIN METROPOLITAN RAPID
TRANSIT AUTHORITIES. (a) Except as otherwise provided by this
section, a metropolitan rapid transit authority operating under
Chapter 451, Transportation Code, that is a party to a contract
governed by Section 34.008, Education Code, is entitled to a refund
of taxes paid under this subchapter for diesel fuel used to provide
services under the contract and may file a refund claim with the
comptroller for the amount of those taxes.
(b) The refund claim under Subsection (a) must contain
information regarding:
(1) vehicle mileage;
(2) hours of service provided;
(3) fuel consumed;
(4) the total number of student passengers per route;
and
(5) the total number of non-student passengers per
route.
(c) If in any month of a school year the number of
non-student passengers is greater than five percent of the total
passengers for any single route under a contract governed by
Section 34.008, Education Code, the metropolitan rapid transit
authority is not entitled to a refund of taxes paid under this
subchapter for the route for that month.
(d) A metropolitan rapid transit authority that requests a
refund under this section shall maintain all supporting
documentation relating to the refund until the sixth anniversary of
the date of the request.
SECTION __. Section 162.3021(b), Tax Code, is amended to
read as follows:
(b) Subject to Section 162.3022, the [The] tax imposed by
this subchapter does not apply to the sale of liquefied petroleum
gas to a commercial transportation company or a metropolitan rapid
transit authority operating under Chapter 451, Transportation
Code, that uses the gas exclusively to provide public school
transportation services to a school district under Section 34.008,
Education Code, or to the use of liquefied petroleum gas by that
company for that purpose. A motor vehicle that uses liquefied
petroleum gas and that is owned by a commercial transportation
company or a metropolitan rapid transit authority operating under
Chapter 451, Transportation Code, and used exclusively to provide
public school transportation services to a school district under
Section 34.008, Education Code, is not required to have a liquefied
gas tax decal or a special use liquefied gas tax decal.
SECTION __. Subchapter D, Chapter 162, Tax Code, is amended
by adding Section 162.3022 to read as follows:
Sec. 162.3022. EXCLUSIVE USE FOR CERTAIN METROPOLITAN RAPID
TRANSIT AUTHORITIES. (a) This section applies to a metropolitan
rapid transit authority operating under Chapter 451,
Transportation Code, that is a party to a contract governed by
Section 34.008, Education Code, that is not required under Section
162.3021 to have a liquefied gas tax decal or a special use
liquefied gas tax decal for liquefied gas used to provide services
under the contract.
(b) If in any month of a school year the number of
non-student passengers is greater than five percent of the total
passengers for any single route under a contract governed by
Section 34.008, Education Code, the metropolitan rapid transit
authority is liable for the tax under this subchapter in an amount
that is prorated for that month.
(c) The metropolitan rapid transit authority shall maintain
the following supporting documentation relating to the services
provided under the contract until the sixth anniversary of the date
of the services provided:
(1) vehicle mileage;
(2) hours of service provided;
(3) fuel consumed;
(4) the total number of student passengers per route;
and
(5) the total number of non-student passengers per
route.
(d) The comptroller may adopt rules to implement this
section.
SECTION __. The changes in law made by this Act to Chapter
162, Tax Code, do 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 purposes of the liability for and
collection of those taxes.
SECTION __. Notwithstanding any other provision of this
Act, the Sections of this Act amending Chapter 162, Tax Code, take
effect July 1, 2007, if this Act receives a vote of two-thirds of
all the members elected to each house, as provided by Section 39,
Article III, Texas Constitution. If this Act does not receive the
vote necessary for effect on that date, those Sections take effect
October 1, 2007.