| 1 | 1 | | 81R1636 JE-D |
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| 2 | 2 | | By: Branch H.B. No. 4022 |
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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 the exemption of oil and gas royalty interests owned by |
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| 8 | 8 | | private institutions of higher education from oil and gas severance |
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| 9 | 9 | | taxes. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Subchapter B, Chapter 201, Tax Code, is amended |
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| 12 | 12 | | by adding Section 201.056 to read as follows: |
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| 13 | 13 | | Sec. 201.056. EXEMPTION OF PRIVATE OR INDEPENDENT |
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| 14 | 14 | | INSTITUTIONS OF HIGHER EDUCATION. (a) "Private or independent |
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| 15 | 15 | | institution of higher education" has the meaning assigned by |
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| 16 | 16 | | Section 61.003, Education Code. |
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| 17 | 17 | | (b) Royalty interests owned by a private or independent |
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| 18 | 18 | | institution of higher education are not subject to the tax imposed |
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| 19 | 19 | | by this chapter. |
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| 20 | 20 | | SECTION 2. Subchapter B, Chapter 202, Tax Code, is amended |
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| 21 | 21 | | by adding Section 202.062 to read as follows: |
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| 22 | 22 | | Sec. 202.062. EXEMPTION OF PRIVATE OR INDEPENDENT |
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| 23 | 23 | | INSTITUTIONS. (a) "Private or independent institution of higher |
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| 24 | 24 | | education" has the meaning assigned by Section 61.003, Education |
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| 25 | 25 | | Code. |
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| 26 | 26 | | (b) Royalty interests owned by a private or independent |
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| 27 | 27 | | institution of higher education are not subject to the tax imposed |
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| 28 | 28 | | by this chapter. |
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| 29 | 29 | | SECTION 3. The change in law made by this Act does not |
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| 30 | 30 | | affect tax liability accruing before the effective date of this |
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| 31 | 31 | | Act. That liability continues in effect as if this Act had not been |
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| 32 | 32 | | enacted, and the former law is continued in effect for the |
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| 33 | 33 | | collection of taxes due and for civil and criminal enforcement of |
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| 34 | 34 | | the liability for those taxes. |
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| 35 | 35 | | SECTION 4. This Act takes effect September 1, 2009. |
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