By: Schwertner  S.B. No. 1122
         (In the Senate - Filed February 22, 2023; March 9, 2023,
  read first time and referred to Committee on Business & Commerce;
  March 31, 2023, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 11, Nays 0; March 31, 2023,
  sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1122 By:  Schwertner
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the exclusion of certain medical services performed to
  determine an appropriate level of workers' compensation benefits
  from sales and use taxes.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 151.0039(b), Tax Code, is amended to
  read as follows:
         (b)  "Insurance service" does not include:
               (1)  insurance coverage for which a premium is paid or
  commissions paid to insurance agents for the sale of insurance or
  annuities;
               (2)  a service performed on behalf of an insured by a
  person licensed under Chapter 4102, Insurance Code;
               (3)  a service performed by a certified public
  accountancy firm, if less than one percent of the firm's total
  revenue in the prior calendar year is from services in this state
  that would otherwise constitute insurance service under Subsection
  (a);
               (4)  a service performed on behalf of a certified
  public accountancy firm by an owner of the firm or a member of the
  firm's affiliated group, if less than one percent of the owner's or
  member's total revenue in the prior calendar year is from services
  in this state that would otherwise constitute insurance service
  under Subsection (a); [or]
               (5)  a medical or dental billing service performed
  before the original submission of:
                     (A)  a medical or dental insurance claim related
  to health or dental coverage; or
                     (B)  a claim related to health or dental coverage
  made to a medical assistance program funded by the federal
  government, a state government, or both; or
               (6)  a medical service, examination, or test required
  or authorized under Chapter 408, Labor Code, for the purpose of
  determining the appropriate level of benefits under that chapter.
         SECTION 2.  The changes in law made by this Act do not affect
  tax liability accruing before the effective date of this Act. That
  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.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2023.
 
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