AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Business owners must obtain a sales tax permit from the comptroller of the public accounts of the State of Texas in order to collect a sales tax under Chapter 151 (Limited Sales, Excise, and Use Tax) of the Tax Code. Currently, a business owner is allowed to apply online for the sales tax permit but must provide a handwritten signature.  The requirement that a business owner provide a handwritten signature to accompany an online application is overly cumbersome and causes undue delays on a business owner.  This delay prevents the business owner from opening his or her business.

 

S.B. 853 amends the Tax Code to allow a business owner to sign the application for a sales tax permit electronically. Many state and local agencies and private businesses already accept electronic signatures for a variety of purposes. S.B. 853 seeks to make it easier to start a business in Texas.

 

S.B. 853 amends current law relating to the signature requirement for a sales tax permit application filed electronically.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Section 151.202, Tax Code, by adding Subsection (c), to provide that an application that is filed electronically complies with the signature requirement under Subsection (b) (requiring that an application be on a form prescribed by the comptroller of public accounts of the State of Texas).

 

SECTION 2.  Effective date: upon passage or September 1, 2015.