84R10679 ADM-F
 
  By: Bettencourt S.B. No. 1783
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to apportionment of certain receipts of a broadcaster
  under the franchise tax.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 171.106, Tax Code, is amended by adding
  Subsection (h) to read as follows:
         (h)  A taxable entity that is a broadcaster shall include in
  the numerator of the broadcaster's apportionment factor receipts
  arising from licensing income from broadcasting or otherwise
  distributing film programming by any means only if the legal
  domicile of the broadcaster's customer is in this state.  In this
  subsection:
               (1)  "Broadcaster" means a taxable entity, not
  including a cable service provider or a direct broadcast satellite
  service, that is a:
                     (A)  television station licensed by the Federal
  Communications Commission;
                     (B)  television broadcast network;
                     (C)  cable television network; or
                     (D)  television distribution company.
               (2)  "Customer" means a person, including a license
  holder, that has a direct connection or contractual relationship
  with a broadcaster under which the broadcaster derives revenue.
               (3)  "Film programming" means all or part of a live or
  recorded performance, event, or production intended to be
  distributed for visual and auditory perception by an audience.
               (4)  "Programming" includes news, entertainment,
  sporting events, plays, stories, or other literary, commercial,
  educational, or artistic works.
         SECTION 2.  This Act applies only to a report originally due
  on or after the effective date of this Act.
         SECTION 3.  This Act takes effect January 1, 2016.