81R29901 KLA-F
By: Eissler H.B. No. 2319
Substitute the following for H.B. No. 2319:
By: Otto C.S.H.B. No. 2319
A BILL TO BE ENTITLED
AN ACT
relating to the treatment of certain exempt organizations as agents
of suppliers or distributors of taxable items for purposes of the
sales and use tax.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 151.310, Tax Code, is amended by adding
Subsection (f) to read as follows:
(f) The comptroller may not regard an organization that
qualifies for an exemption under Subsection (a)(1) or (2) as the
agent of the organization's wholesale supplier or distributor under
Section 151.024 if, in exchange for consideration, title to taxable
items is transferred under a contract, purchase order, invoice,
shipping document, or other proof, from the supplier or distributor
to the organization for purposes of the sale of those items at a
tax-free sale or auction under this section.
SECTION 2. The change in law made by this Act does 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, 2009.