| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to a sales and use tax exemption for certain unprocessed |
|
|
materials used in the manufacture of hydrocarbons. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 151.318(b), Tax Code, is amended to read |
|
|
as follows: |
|
|
(b) The exemption includes: |
|
|
(1) chemicals, catalysts, and other materials that are |
|
|
used during a manufacturing, processing, or fabrication operation |
|
|
to produce or induce a chemical or physical change, to remove |
|
|
impurities, or to make the product more marketable; |
|
|
(2) semiconductor fabrication cleanrooms and |
|
|
equipment; [and] |
|
|
(3) pharmaceutical biotechnology cleanrooms and |
|
|
equipment that are installed as part of the construction of a new |
|
|
facility on which construction began after July 1, 2003; and |
|
|
(4) unprocessed sand, dirt, and gravel used in the |
|
|
manufacture of hydrocarbons, which may undergo non-processing |
|
|
activities that include gathering, scooping, shaking, sorting, and |
|
|
washing, unless some method is used to produce a chemical change in |
|
|
the material through these activities. |
|
|
SECTION 2. 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 on the 91st day after the last day of the |
|
|
legislative session. |