83R2551 ADM-F
  By: Bohac H.B. No. 1724
  relating to the statute of limitations on municipal and county
  hotel occupancy taxes and interest on delinquent payments of
  municipal hotel occupancy taxes.
         SECTION 1.  Sections 351.004(a) and (b), Tax Code, are
  amended to read as follows:
         (a)  The municipality may bring suit against a person who is
  required to collect the tax imposed by this chapter and pay the
  collections over to the municipality, and who has failed to file a
  tax report or pay the tax when due, to collect the tax not paid or to
  enjoin the person from operating a hotel in the municipality until
  the tax is paid or the report filed, as applicable, as provided by
  the court's order.  In addition to the amount of any tax owed under
  this chapter, the person is liable to the municipality for:
               (1)  the municipality's reasonable attorney's fees;
               (2)  the costs of an audit conducted under Subsection
  (a-1)(1), as determined by the municipality using a reasonable
  rate, but only if:
                     (A)  the tax has been delinquent for at least two
  complete municipal fiscal quarters at the time the audit is
  conducted; and
                     (B)  the municipality has not received a
  disbursement from the comptroller as provided by Section 156.2513
  related to the person's concurrent state tax delinquency described
  by Section 351.008; [and]
               (3)  a penalty equal to 15 percent of the total amount
  of the tax owed if the tax has been delinquent for at least one
  complete municipal fiscal quarter; and
               (4)  interest under Section 351.0042.
         (b)  A municipality must bring suit under this section not
  later than the fourth anniversary of the date the tax becomes due. 
  [Section 16.061, Civil Practice and Remedies Code, applies to the
  collection of a tax under this chapter. A limitation period
  provided by Title 2 relating to the time allowed to assess taxes and
  bring a suit to collect taxes does not apply to a tax imposed under
  this chapter or to a suit brought under this section.]
         SECTION 2.  Subchapter A, Chapter 351, Tax Code, is amended
  by adding Section 351.0042 to read as follows:
         Sec. 351.0042.  INTEREST ON DELINQUENT TAX. (a)  A person
  who fails to pay a tax due under this chapter is liable to the
  municipality for interest at the rate provided by Section
  111.060(b) on the unpaid amount.
         (b)  Interest under this section accrues from the first day
  after the date due until the tax is paid.
         SECTION 3.  Section 352.004, Tax Code, is amended by adding
  Subsection (d-1) to read as follows:
         (d-1)  A county must bring suit under this section not later
  than the fourth anniversary of the date the tax becomes due.
         SECTION 4.  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 5.  This Act takes effect September 1, 2013.