81R4035 CBH-D
 
  By: Nichols S.B. No. 1128
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to an exemption from the sales tax for medical equipment
  used by physicians in certain areas of this state.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter H, Chapter 151, Tax Code, is amended
  by adding Section 151.3132 to read as follows:
         Sec. 151.3132.  MEDICAL EQUIPMENT IN MEDICALLY UNDERSERVED
  AREAS. (a) The sale, use, or installation of tangible personal
  property is exempted from the taxes imposed by this chapter if:
               (1)  the tangible personal property is sold to or used
  by a physician practicing medicine in an area in this state
  designated by the federal government or this state as a medically
  underserved area or a health professional shortage area;
               (2)  the tangible personal property will be located in
  the area described by Subdivision (1); and
               (3)  the physician will use the tangible personal
  property to diagnose, prevent, alleviate, or cure a human illness
  or injury.
         (b)  The exemption provided by this section does not apply
  to:
               (1)  tangible personal property not used directly to
  diagnose, prevent, alleviate, or cure a human illness or injury,
  including office equipment or supplies; or
               (2)  tangible personal property rented or leased to the
  physician for less than one year.
         SECTION 2.  The change in law made by this Act does not
  affect tax liability accruing before the effective date of this
  Act. That liability continues in effect as if this Act had not been
  enacted, and the former law is continued in effect for the
  collection of taxes due and for civil and criminal enforcement of
  the liability for those taxes.
         SECTION 3.  This Act takes effect July 1, 2009, if it
  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, this Act takes effect September 1, 2009.