By: Lewis H.B. No. 3696
A BILL TO BE ENTITLED
AN ACT
relating to a deduction under the franchise tax for the sale of the
entire operating assets of a business or of a separate division,
branch or identifiable segment of a business.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 171.1011, Tax Code, is amended by adding
Subsection (r) and renumbering subsequent subsections to read as
follows:
(r) A taxable entity shall exclude, to the extent included
under Subsection (c)(1)(A), (c)(2)(A), or (c)(3), total revenue
received from the sale of the entire operating assets of the entity,
or any lower tier entity, or of a separate division, branch or
identifiable segment of the entity, or any lower tier entity.
SECTION 2. This Act applies only to a report originally due
on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2010.