Texas 2009 - 81st Regular

Texas Senate Bill SB1202 Compare Versions

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1	1	By: Deuell, Jackson S.B. No. 1202
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the collection and allocation of local sales and use
7	7	taxes.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Subdivision (3), Subsection (a), Section
10	10	321.002, Tax Code, is amended to read as follows:
11	11	(3) "Place of business of the retailer" means an
12	12	established outlet, office, or location operated by the retailer or
13	13	the retailer's agent or employee for the purpose of receiving
14	14	orders for taxable items and includes any location at which three or
15	15	more orders are received by the retailer during a calendar year. A
16	16	warehouse, storage yard, or manufacturing plant is not a "place of
17	17	business of the retailer" unless at least three orders are received
18	18	by the retailer during the calendar year at the warehouse, storage
19	19	yard, or manufacturing plant. An outlet, office, facility, or
20	20	location that contracts with a retail or commercial business
21	21	engaged in activities to which this chapter applies to process for
22	22	that business invoices or bills of lading onto which sales tax is
23	23	added is not a "place of business of the retailer" if the
24	24	comptroller determines that the outlet, office, facility, or
25	25	location functions or exists to avoid the tax imposed by this
26	26	chapter or to rebate a portion of the tax imposed by this chapter to
27	27	the contracting business. Notwithstanding any other provision of
28	28	this subdivision, a kiosk is not a "place of business of the
29	29	retailer." In this subdivision, "kiosk" means a small stand-alone
30	30	area or structure that:
31	31	(A) is used solely to display merchandise or to
32	32	submit orders for taxable items from a data entry device, or both;
33	33	(B) is located entirely within a location that is
34	34	a place of business of another retailer, such as a department store
35	35	or shopping mall; and
36	36	(C) at which taxable items are not available for
37	37	immediate delivery to a customer.
38	38	SECTION 2. Section 321.203, Tax Code, is amended by
39	39	amending Subsections (c) and (d) and adding Subsections (c-1),
40	40	(c-2), and (c-3) to read as follows:
41	41	(c) If a retailer has more than one place of business in this
42	42	state, each [a] sale of each [a] taxable item by the retailer is
43	43	consummated at the [retailer's] place of business of the retailer
44	44	in this state where the retailer first receives the order, provided
45	45	that the order is placed in person by the purchaser or lessee of the
46	46	taxable item at the place of business of the retailer in this state
47	47	where the retailer first receives the order.
48	48	(c-1) If the retailer has more than one place of business in
49	49	this state and Subsection (c) does not apply, the sale is
50	50	consummated at the place of business of the retailer in this state:
51	51	(1) from which the retailer ships or delivers the
52	52	item, if the retailer ships or delivers the item to a point
53	53	designated by the purchaser or lessee; or
54	54	(2) where the purchaser or lessee takes possession of
55	55	and removes the item, if the purchaser or lessee takes possession of
56	56	and removes the item from a place of business of the retailer.
57	57	(c-2) Subsection (c) does not apply if:
58	58	(1) the taxable item is shipped or delivered from a
59	59	warehouse:
60	60	(A) that is a place of business of the retailer;
61	61	(B) in relation to which the retailer has an
62	62	economic development agreement with:
63	63	(i) the municipality in which the warehouse
64	64	is located that was entered into under Chapter 380, 504, or 505,
65	65	Local Government Code, or a predecessor statute, before January 1,
66	66	2009; or
67	67	(ii) the county in which the warehouse is
68	68	located that was entered into under Chapter 381, Local Government
69	69	Code, before January 1, 2009; and
70	70	(C) in relation to which the municipality
71	71	provides information relating to the economic development
72	72	agreement as required by Subsection (c-3) by the deadline
73	73	prescribed by that subsection, or, if appropriate, the county
74	74	complies with Section 323.203(c-3) by the deadline prescribed by
75	75	that section; and
76	76	(2) the place of business of the retailer at which the
77	77	retailer first receives the order in the manner described by
78	78	Subsection (c) is a retail outlet identified in the information
79	79	required by Subsection (c-3) or Section 323.203(c-3) as being
80	80	served by the warehouse on January 1, 2009.
81	81	(c-3) Not later than September 1, 2009, a municipality that
82	82	has entered into an economic development agreement described by
83	83	Subsection (c-2) shall send to the comptroller information
84	84	prescribed by the comptroller relating to the agreement that
85	85	identifies each warehouse subject to the agreement and each retail
86	86	outlet that, on January 1, 2009, was served by that warehouse. The
87	87	comptroller shall prescribe the manner in which the information
88	88	must be provided. The provision of information to the comptroller
89	89	under this subsection does not affect whether information described
90	90	by this subsection is confidential or excepted from required public
91	91	disclosure. This subsection and Subsection (c-2) expire September
92	92	1, 2014.
93	93	(d) If the retailer has more than one place of business in
94	94	this state and Subsections (c) and (c-1) do not apply [neither the
95	95	possession of a taxable item is taken at nor shipment or delivery of
96	96	the item is made from the retailer's place of business in this
97	97	state], the sale is consummated at:
98	98	(1) the [retailer's] place of business of the retailer
99	99	in this state where the order is received; or
100	100	(2) if the order is not received at a place of business
101	101	of the retailer, the place of business from which the retailer's
102	102	agent or employee who took the order operates.
103	103	SECTION 3. Section 323.203, Tax Code, is amended by
104	104	amending Subsections (c) and (d) and adding Subsections (c-1),
105	105	(c-2), and (c-3) to read as follows:
106	106	(c) If a retailer has more than one place of business in this
107	107	state, each [a] sale of each [a] taxable item by the retailer is
108	108	consummated at the [retailer's] place of business of the retailer
109	109	in this state where the retailer first receives the order, provided
110	110	that the order is placed in person by the purchaser or lessee of the
111	111	taxable item at the place of business of the retailer in this state
112	112	where the retailer first receives the order.
113	113	(c-1) If the retailer has more than one place of business in
114	114	this state and Subsection (c) does not apply, the sale is
115	115	consummated at the place of business of the retailer in this state:
116	116	(1) from which the retailer ships or delivers the
117	117	item, if the retailer ships or delivers the item to a point
118	118	designated by the purchaser or lessee; or
119	119	(2) where the purchaser or lessee takes possession of
120	120	and removes the item, if the purchaser or lessee takes possession of
121	121	and removes the item from a place of business of the retailer.
122	122	(c-2) Subsection (c) does not apply if:
123	123	(1) the taxable item is shipped or delivered from a
124	124	warehouse:
125	125	(A) that is a place of business of the retailer;
126	126	(B) in relation to which the retailer has an
127	127	economic development agreement with:
128	128	(i) the county in which the warehouse is
129	129	located that was entered into under Chapter 381, Local Government
130	130	Code, before January 1, 2009; or
131	131	(ii) the municipality in which the
132	132	warehouse is located that was entered into under Chapter 380, 504,
133	133	or 505, Local Government Code, or a predecessor statute, before
134	134	January 1, 2009; and
135	135	(C) in relation to which the county provides
136	136	information relating to the economic development agreement as
137	137	required by Subsection (c-3) by the deadline prescribed by that
138	138	subsection, or, if appropriate, the municipality complies with
139	139	Section 321.203(c-3) by the deadline prescribed by that section;
140	140	and
141	141	(2) the place of business of the retailer at which the
142	142	retailer first receives the order in the manner described by
143	143	Subsection (c) is a retail outlet identified in the information
144	144	required by Subsection (c-3) or Section 321.203(c-3) as being
145	145	served by the warehouse on January 1, 2009.
146	146	(c-3) Not later than September 1, 2009, a county that has
147	147	entered into an economic development agreement described by
148	148	Subsection (c-2) shall send to the comptroller information
149	149	prescribed by the comptroller relating to the agreement that
150	150	identifies each warehouse subject to the agreement and each retail
151	151	outlet that, on January 1, 2009, was served by that warehouse. The
152	152	comptroller shall prescribe the manner in which the information
153	153	must be provided. The provision of information to the comptroller
154	154	under this subsection does not affect whether information described
155	155	by this subsection is confidential or excepted from required public
156	156	disclosure. This subsection and Subsection (c-2) expire September
157	157	1, 2014.
158	158	(d) If the retailer has more than one place of business in
159	159	this state and Subsections (c) and (c-1) do not apply [neither the
160	160	possession of a taxable item is taken at nor shipment or delivery of
161	161	the item is made from the retailer's place of business in this
162	162	state], the sale is consummated at:
163	163	(1) the [retailer's] place of business of the retailer
164	164	in this state where the order is received; or
165	165	(2) if the order is not received at a place of business
166	166	of the retailer, the place of business from which the retailer's
167	167	agent or employee who took the order operates.
168	168	SECTION 4. The change in law made by this Act does not
169	169	affect tax liability accruing before the effective date of this
170	170	Act. That liability continues in effect as if this Act had not been
171	171	enacted, and the former law is continued in effect for the
172	172	collection of taxes due and for civil and criminal enforcement of
173	173	the liability for those taxes.
174	174	SECTION 5. (a) Except as provided by Subsection (b) of
175	175	this section, this Act takes effect September 1, 2009.
176	176	(b) Subsection (c-3), Section 321.203, and Subsection
177	177	(c-3), Section 323.203, Tax Code, as added by this Act, take effect
178	178	immediately if this Act receives a vote of two-thirds of all the
179	179	members elected to each house, as provided by Section 39, Article
180	180	III, Texas Constitution. If this Act does not receive the vote
181	181	necessary for immediate effect, Subsection (c-3), Section 321.203
182	182	and Subsection (c-3), Section 323.203, Tax Code, as added by this
183	183	Act, take effect August 31, 2009.