| 1 | 1 | | 81R30842 JE-D |
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| 2 | 2 | | By: Eiland, et al. H.B. No. 1283 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to installment payments of ad valorem taxes on property in |
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| 8 | 8 | | a disaster area. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 31.032, Tax Code, is amended by amending |
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| 11 | 11 | | Subsections (a) and (c) and adding Subsection (h) to read as |
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| 12 | 12 | | follows: |
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| 13 | 13 | | (a) This section applies only to: |
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| 14 | 14 | | (1) real property that: |
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| 15 | 15 | | (A) [is the residence homestead of the owner or |
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| 16 | 16 | | consists of property that is used for residential purposes and that |
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| 17 | 17 | | has fewer than five living units; |
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| 18 | 18 | | [(B)] is located in a disaster area; [and] |
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| 19 | 19 | | (B) [(C)] has been damaged as a direct result of |
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| 20 | 20 | | the disaster; and |
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| 21 | 21 | | (C) if the property is owned or leased by a |
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| 22 | 22 | | business entity, is owned or leased by a business entity that had |
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| 23 | 23 | | not more than the amount provided by Subsection (h) in gross |
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| 24 | 24 | | receipts in the entity's most recent federal tax year or state |
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| 25 | 25 | | franchise tax annual period, according to the applicable federal |
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| 26 | 26 | | income tax return or state franchise tax report of the entity; and |
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| 27 | 27 | | (2) taxes that are imposed on the property by a taxing |
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| 28 | 28 | | unit before the first anniversary of the disaster. |
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| 29 | 29 | | (c) If the person fails to make a payment before the |
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| 30 | 30 | | applicable date provided by Subsection (b), the unpaid amount is |
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| 31 | 31 | | delinquent and incurs a penalty of six [12] percent and interest as |
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| 32 | 32 | | provided by Section 33.01(c). |
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| 33 | 33 | | (h) For the 2009 tax year, the limit on gross receipts under |
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| 34 | 34 | | Subsection (a)(1)(C) is $5 million. For each subsequent tax year, |
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| 35 | 35 | | the comptroller shall adjust the limit to reflect inflation by |
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| 36 | 36 | | using the index that the comptroller considers to most accurately |
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| 37 | 37 | | report changes in the purchasing power of the dollar for consumers |
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| 38 | 38 | | in this state and shall publicize the adjusted limit. Each |
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| 39 | 39 | | collector shall use the adjusted limit as calculated by the |
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| 40 | 40 | | comptroller under this subsection to determine whether property is |
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| 41 | 41 | | owned or leased by a business entity described by Subsection |
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| 42 | 42 | | (a)(1)(C). |
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| 43 | 43 | | SECTION 2. This Act takes effect immediately if it receives |
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| 44 | 44 | | a vote of two-thirds of all the members elected to each house, as |
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| 45 | 45 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 46 | 46 | | Act does not receive the vote necessary for immediate effect, this |
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| 47 | 47 | | Act takes effect September 1, 2009. |
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