81R9268 KLA-D
 
  By: Harper-Brown H.B. No. 2943
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to a temporary franchise tax discount for job creation and
  retention.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter A, Chapter 171, Tax Code, is amended
  by adding Section 171.0024 to read as follows:
         Sec. 171.0024.  TEMPORARY DISCOUNT FROM TAX LIABILITY FOR
  JOB CREATION AND RETENTION. (a) This section applies only to a
  report originally due on or after January 1, 2010, and before
  January 1, 2011.
         (b)  A taxable entity is entitled to a discount of 25 percent
  of the tax imposed under this chapter that the taxable entity is
  required to pay after determining its taxable margin under Section
  171.101, applying the appropriate rate of the tax under Section
  171.002(a) or (b), and subtracting any other allowable credits or
  discounts, including a discount under Section 171.0021, to enable
  the taxable entity to create and retain jobs for residents of this
  state.
         (c)  Notwithstanding Section 171.1016(c), a taxable entity
  that elects to pay the tax as provided by Section 171.1016 is
  entitled to a discount of 25 percent of the tax calculated under
  that section for the purposes specified by Subsection (b).
         (d)  A taxable entity the tax liability of which is
  discounted under this section is presumed to have used the amount by
  which that liability was discounted for job creation and retention
  purposes. The comptroller may not require the taxable entity to
  provide documentation or any other proof regarding the use of that
  amount.
         (e)  This section expires January 1, 2012.
         SECTION 2.  This Act takes effect January 1, 2010.