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A BILL TO BE ENTITLED
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AN ACT
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relating to the application of the sales tax to services for |
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repairing and remodeling certain historic commercial properties. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 151.0047, Tax Code, is amended by |
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amending Subsection (a) and adding Subsections (a-1) and (a-2) to |
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read as follows: |
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(a) "Real property repair and remodeling" means the repair, |
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restoration, remodeling, or modification of an improvement to real |
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property other than: |
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(1) a structure or separate part of a structure used as |
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a residence; |
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(2) an improvement immediately adjacent to a structure |
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described by Subdivision (1) [of this section] and used in the |
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residential occupancy of the structure or separate part of the |
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structure by the person using the structure or part as a residence; |
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[or] |
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(3) an improvement to a manufacturing or processing |
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production unit in a petrochemical refinery or chemical plant that |
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provides increased capacity in the production unit; or |
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(4) an improvement to a structure that: |
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(A) is included in the National Register of |
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Historic Places or has been designated as a historic structure or |
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building by a state agency or by a local ordinance or order; |
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(B) is used for nonindustrial commercial |
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purposes; and |
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(C) is located inside the boundaries of the most |
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populous municipality in a county in which two or more |
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municipalities each with a population of more than 300,000 are |
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located. |
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(a-1) The exception provided by Subsection (a)(4) does not |
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apply to an improvement to a structure located inside the |
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boundaries of a municipality described by Subsection (a)(4)(C) |
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until the date the municipality: |
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(1) develops a process and procedure for determining |
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the total number and variety of the structures that may be eligible |
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for that exception; and |
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(2) provides a description of that process and |
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procedure to the comptroller. |
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(a-2) A municipality described by Subsection (a)(4)(C) may |
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develop and submit to the comptroller: |
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(1) a report on the total number of structures located |
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inside the boundaries of the municipality that are eligible for the |
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exception provided by Subsection (a)(4); and |
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(2) a financial profile that includes the amount of |
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state and local taxes generated as a result of interest from the |
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private sector in remodeling commercial properties that are |
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eligible for that exception. |
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SECTION 2. The change in law made by this Act does not |
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affect taxes imposed before the effective date of this Act, and the |
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law in effect before the effective date of this Act is continued in |
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effect for the purposes of the liability for and collection of those |
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taxes. |
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SECTION 3. This Act takes effect October 1, 2007. |
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