BILL ANALYSIS

H.B. 682

By: Sheets

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties cite the comptroller of public accounts in noting that Texas does not provide an exemption from the motor vehicle sales and use tax for vehicles purchased by active duty service members deployed outside the United States. As a result, on the initial registration or transfer of registration of such a vehicle in Texas, a service member must pay the required tax. H.B. 682 seeks to provide relief from this tax for active duty service members of the U.S. armed forces deployed outside the United States.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is expressly granted to the comptroller of public accounts in SECTION 1 of this bill.

ANALYSIS

H.B. 682 amends the Tax Code to exempt from the motor vehicle sales and use tax the sale or use of a motor vehicle purchased by an active duty member of the U.S. armed forces for the member's own private use if the member is a Texas resident deployed outside the United States. The bill requires a member who is eligible for the exemption to apply to the comptroller of public accounts for a certificate stating that the member is exempt and requires the comptroller to issue the certificate if the comptroller determines that the member qualifies for the exemption. The bill authorizes the comptroller to adopt rules to implement and administer the bill's provisions.

EFFECTIVE DATE

July 1, 2015, or, if the bill does not receive the necessary vote, September 1, 2015.