BILL ANALYSIS

Senate Research Center	S.B. 675
86R7142 SRA-F	By: Hughes
	Finance
	3/30/2019
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Currently, certain vehicles are exempt from the motor vehicle sales and use tax for religious organizations when used for religious purposes. To address concerns of the complexity of determining what vehicles are eligible to be exempt from the tax, S.B. 675 changes what constitutes a motor vehicle used for religious purposes and removes some redundant language in the definition in an effort to simplify the determinations.

As proposed, S.B. 675 amends current law relating to the exemption from the taxes imposed on the sale, use, or rental of a motor vehicle for certain motor vehicles used for religious purposes.

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 152.001(12), Tax Code, as follows:

(12) Defines "motor vehicle used for religious purposes" as a motor vehicle used primarily by a church or religious society and not used primarily for the personal or official needs or duties of a minister or other person, rather than a motor vehicle that is a trailer or is designed to carry more than six passengers, sold to, to rented to, or used by a church or religious society, and not registered as a passenger vehicle and not used primarily for the personal or official needs or duties of a minister.

SECTION 2. Provides that the change in law made by this Act does not affect tax liability accruing before the effective date of this Act. Provides that such 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 3. Effective date: September 1, 2019.