81R12790 JE-F
By: Paxton H.B. No. 3764
A BILL TO BE ENTITLED
AN ACT
relating to the application of the franchise tax to banking
corporations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 171.1011, Tax Code, is amended by adding
Subsection (u) to read as follows:
(u) A taxable entity that is a banking corporation shall
exclude from its total revenue, to the extent included under
Subsection (c)(1)(A), (c)(2)(A), or (c)(3), 50 percent of its
revenue attributable to extensions of credit:
(1) to persons located in this state; or
(2) that are secured by collateral located in this
state.
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.