| 1 | 1 | | 81R29901 KLA-F |
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| 2 | 2 | | By: Eissler H.B. No. 2319 |
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| 3 | 3 | | Substitute the following for H.B. No. 2319: |
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| 4 | 4 | | By: Otto C.S.H.B. No. 2319 |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to the treatment of certain exempt organizations as agents |
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| 10 | 10 | | of suppliers or distributors of taxable items for purposes of the |
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| 11 | 11 | | sales and use tax. |
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| 12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 13 | | SECTION 1. Section 151.310, Tax Code, is amended by adding |
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| 14 | 14 | | Subsection (f) to read as follows: |
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| 15 | 15 | | (f) The comptroller may not regard an organization that |
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| 16 | 16 | | qualifies for an exemption under Subsection (a)(1) or (2) as the |
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| 17 | 17 | | agent of the organization's wholesale supplier or distributor under |
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| 18 | 18 | | Section 151.024 if, in exchange for consideration, title to taxable |
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| 19 | 19 | | items is transferred under a contract, purchase order, invoice, |
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| 20 | 20 | | shipping document, or other proof, from the supplier or distributor |
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| 21 | 21 | | to the organization for purposes of the sale of those items at a |
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| 22 | 22 | | tax-free sale or auction under this section. |
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| 23 | 23 | | SECTION 2. The change in law made by this Act does not |
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| 24 | 24 | | affect tax liability accruing before the effective date of this |
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| 25 | 25 | | Act. That liability continues in effect as if this Act had not been |
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| 26 | 26 | | enacted, and the former law is continued in effect for the |
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| 27 | 27 | | collection of taxes due and for civil and criminal enforcement of |
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| 28 | 28 | | the liability for those taxes. |
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| 29 | 29 | | SECTION 3. This Act takes effect immediately if it receives |
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| 30 | 30 | | a vote of two-thirds of all the members elected to each house, as |
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| 31 | 31 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 32 | 32 | | Act does not receive the vote necessary for immediate effect, this |
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| 33 | 33 | | Act takes effect September 1, 2009. |
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