By: Hinojosa  S.B. No. 1782
         (In the Senate - Filed March 11, 2009; March 20, 2009, read
  first time and referred to Committee on Finance; May 6, 2009,
  reported adversely, with favorable Committee Substitute by the
  following vote:  Yeas 8, Nays 0; May 6, 2009, sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1782 By:  Hinojosa
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the deferral by a licensed distributor or importer of
  payment of gasoline and diesel fuel taxes and credits authorized
  for certain of those deferrals.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 162.113, Tax Code, is amended by
  amending Subsection (d) and adding Subsection (d-1) to read as
  follows:
         (d)  The supplier or permissive supplier [has the right],
  after requesting a credit [notifying the comptroller of the
  licensed distributor's or licensed importer's failure to remit
  taxes] under this section, shall [to] terminate the ability of the
  licensed distributor or licensed importer to defer the payment of
  gasoline tax. The supplier or permissive supplier may not [shall]
  reinstate [without delay] the right of the licensed distributor or
  licensed importer to defer the payment of gasoline tax until the
  first anniversary of the date the supplier or permissive supplier
  requested the credit, subject to Subsection (d-1).
         (d-1)  A supplier or permissive supplier may reinstate the
  right of a licensed distributor or licensed importer to defer the
  payment of gasoline tax before the date prescribed by Subsection
  (d) if the comptroller determines that:
               (1)  the supplier or permissive supplier erroneously
  requested the credit that resulted in the termination of the
  licensed distributor's or licensed importer's right to defer
  payment; or
               (2)  the licensed distributor or licensed importer
  failed to pay gasoline taxes due because of circumstances that may
  have been outside the distributor's or importer's control [after
  the comptroller provides to the supplier or permissive supplier
  notice that the licensed distributor or licensed importer is in
  good standing with the comptroller for the purposes of the gasoline
  tax imposed under this subchapter].
         SECTION 2.  Subsection (c), Section 162.116, Tax Code, is
  amended to read as follows:
         (c)  A supplier or permissive supplier may take a credit for
  any taxes that were not remitted in a previous period to the
  supplier or permissive supplier by a licensed distributor or
  licensed importer as required by Section 162.113. The supplier or
  permissive supplier is eligible to take the credit if the
  comptroller is notified of the default within 15 [60] days after the
  default occurs. If a license holder pays to a supplier or
  permissive supplier the tax owed, but the payment occurs after the
  supplier or permissive supplier has taken a credit on its return,
  the supplier or permissive supplier shall remit the payment to the
  comptroller with the next monthly return after receipt of the tax,
  plus a penalty of 10 percent of the amount of unpaid taxes and
  interest at the rate provided by Section 111.060 beginning on the
  date the credit was taken.
         SECTION 3.  Section 162.214, Tax Code, is amended by
  amending Subsection (d) and adding Subsection (d-1) to read as
  follows:
         (d)  The supplier or permissive supplier [has the right],
  after requesting a credit [notifying the comptroller of the
  licensed distributor's or licensed importer's failure to remit
  taxes] under this section, shall [to] terminate the ability of the
  licensed distributor or licensed importer to defer the payment of
  diesel fuel tax. The supplier or permissive supplier may not 
  [shall] reinstate [without delay] the right of the licensed
  distributor or licensed importer to defer the payment of diesel
  fuel tax until the first anniversary of the date the supplier or
  permissive supplier requested the credit, subject to Subsection
  (d-1).
         (d-1)  A supplier or permissive supplier may reinstate the
  right of a licensed distributor or licensed importer to defer the
  payment of diesel fuel tax before the date prescribed by Subsection
  (d) if the comptroller determines that:
               (1)  the supplier or permissive supplier erroneously
  requested the credit that resulted in the termination of the
  licensed distributor's or licensed importer's right to defer
  payment; or
               (2)  the licensed distributor or licensed importer
  failed to pay diesel fuel taxes due because of circumstances that
  may have been outside the distributor's or importer's control
  [after the comptroller provides to the supplier or permissive
  supplier notice that the licensed distributor or licensed importer
  is in good standing with the comptroller for the purposes of diesel
  fuel tax imposed under this subchapter].
         SECTION 4.  Subsection (c), Section 162.217, Tax Code, is
  amended to read as follows:
         (c)  A supplier or permissive supplier may take a credit for
  any taxes that were not remitted in a previous period to the
  supplier or permissive supplier by a licensed distributor or
  licensed importer as required by Section 162.214. The supplier or
  permissive supplier is eligible to take this credit if the
  comptroller is notified of the default within 15 [60] days after the
  default occurs. If a license holder pays to a supplier or
  permissive supplier the tax owed, but the payment occurs after the
  supplier or permissive supplier has taken a credit on its return,
  the supplier or permissive supplier shall remit the payment to the
  comptroller with the next monthly return after receipt of the tax,
  plus a penalty of 10 percent of the amount of unpaid taxes and
  interest at the rate provided by Section 111.060 beginning on the
  date the credit is taken.
         SECTION 5.  Subsection (d), Section 162.116, and Subsection
  (d), Section 162.217, Tax Code, are repealed.
         SECTION 6.  The changes in law made by this Act apply only to
  a credit claimed, or the termination of tax payment deferral
  following a credit requested, on or after the effective date of this
  Act. A credit claimed, or the termination of tax payment deferral
  following a credit requested, before the effective date of this Act
  is governed by the law in effect on the date the credit was claimed
  or requested, and the former law is continued in effect for that
  purpose.
         SECTION 7.  This Act takes effect immediately 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 immediate effect, this
  Act takes effect September 1, 2009.
 
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