Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
SB1294 by Powell (Relating to water-related exemptions from sales and use taxes.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend Section 151.355 of the Tax Code to add services used for rainwater harvesting to the list of eligible items and services exempt from the sales and use tax.
This bill would take effect immediately upon enactment, assuming it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2019.
The Comptroller of Public Accounts indicates the bill's provisions are consistent with current administrative policy regarding exemptions under Section 151.355; services for rainwater harvesting are exempt from the sales and use tax, therefore the bill would have no fiscal implications.
Local Government Impact
No fiscal implication to units of local government is anticipated.