81R12781 KLA-D
By: Shapleigh S.B. No. 1605
A BILL TO BE ENTITLED
AN ACT
relating to the use of federal estate tax provisions in determining
the application of the Texas estate tax to certain transfers of
property and to the allocation of Texas estate tax revenue.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 211.001(14), Tax Code, is amended to
read as follows:
(14) "Value" means value as finally determined and
used for purposes of computing the federal tax or the tax imposed by
this chapter.
SECTION 2. Section 211.003, Tax Code, is amended to read as
follows:
Sec. 211.003. REFERENCES TO INTERNAL REVENUE CODE. A
citation of or a reference to a subtitle, a chapter, or a section of
the Internal Revenue Code of 1954 is a citation of or reference to
[includes] that subtitle, chapter, or section as it existed
[exists] on December 31, 2000 [September 1, 1981, or as amended
after that date and also includes any other provision of the
Internal Revenue Code enacted after September 1, 1981, that is
similar to or a replacement of the subtitle, chapter, or section
cited or referred to].
SECTION 3. Section 211.056, Tax Code, is amended by
amending Subsection (a) and adding Subsection (a-1) to read as
follows:
(a) This section applies only to an estate that is subject
to both the federal tax and the tax imposed by this chapter.
(a-1) The comptroller shall confer with the Internal
Revenue Service of the United States to determine the value of a
decedent's estate that is located in this state and that is valued
by the United States for tax purposes.
SECTION 4. Subchapter B, Chapter 211, Tax Code, is amended
by adding Section 211.057 to read as follows:
Sec. 211.057. VALUE OF ESTATES NOT SUBJECT TO FEDERAL TAX.
The comptroller shall adopt rules for determining the value of a
decedent's estate that is located in this state and that is not
subject to the federal tax.
SECTION 5. Section 211.102, Tax Code, is amended to read as
follows:
Sec. 211.102. DAY ON WHICH PAYMENT IS DUE. Except as
provided by Sections 211.103 and 211.104 [211.104(b)], payment of a
tax imposed by Section 211.051, 211.052, or 211.053 [of this code]
on a decedent's estate is due nine months after the day of the
decedent's death.
SECTION 6. Section 211.103, Tax Code, is amended by adding
Subsection (a-1) to read as follows:
(a-1) The personal representative of an estate that is
subject to a tax imposed by this chapter but that is not subject to
the federal tax may request an extension of time under Section
111.057 for filing a report required by this chapter.
SECTION 7. Section 211.104, Tax Code, is amended by
amending Subsection (a) and adding Subsection (a-1) to read as
follows:
(a) This section applies only to an estate that is subject
to both the federal tax and the tax imposed by this chapter.
(a-1) Within 30 days after receiving notice or information
of the final assessment and determination of the value of the
taxable estate assessed and determined by the federal government
for the purpose of fixing federal estate taxes on that estate, the
personal representative shall make to the comptroller a report of
the value of the estate as so fixed and determined. The report
shall be made in a form and contain information as the comptroller
directs.
SECTION 8. Sections 211.105 and 211.106, Tax Code, are
amended to read as follows:
Sec. 211.105. DATE DUE OF TAXES ON GENERATION-SKIPPING
TRANSFERS. (a) The taxes imposed by this chapter on
generation-skipping transfers that are subject to the federal tax
are due and payable at the same time as the federal tax on
generation-skipping transfers.
(b) The comptroller shall adopt rules specifying a due date
for taxes imposed by this chapter on generation-skipping transfers
that are not subject to the federal tax.
Sec. 211.106. RETURNS. A payment relating to an estate that
is subject to the federal tax must [shall] be accompanied by a copy
of the federal estate or generation-skipping transfer tax return
filed with the Internal Revenue Service and the Texas tax return
containing any information the comptroller considers necessary for
the enforcement of this chapter. A payment relating to an estate
that is subject to the tax imposed by this chapter but is not
subject to the federal tax must be accompanied by the Texas tax
return [In the event no federal estate or generation-skipping
transfer tax has been paid or is due and no federal estate or
generation-skipping transfer tax return must be filed, the filing
of a Texas tax return is not required by this chapter].
SECTION 9. Section 211.301, Tax Code, is amended to read as
follows:
Sec. 211.301. ALLOCATION OF REVENUE [GENERAL REVENUE FUND].
The revenue from a tax, interest, or penalty imposed by this chapter
shall be deposited in the state treasury to the credit of the TEXAS
grant program account established under Section 56.312, Education
Code [general revenue fund].
SECTION 10. Section 56.310(b), Education Code, is amended
to read as follows:
(b) The legislature may appropriate money, including money
deposited to the credit of the TEXAS grant program account, for the
purposes of this subchapter.
SECTION 11. Subchapter M, Chapter 56, Education Code, is
amended by adding Section 56.312 to read as follows:
Sec. 56.312. TEXAS GRANT PROGRAM ACCOUNT. The TEXAS grant
program account is an account in the general revenue fund that may
be appropriated only to the coordinating board for the purpose of
implementing the TEXAS grant program under this subchapter.
SECTION 12. The change in law made by this Act to Chapter
211, Tax Code, applies only to a transfer of property subject to
that chapter that occurs as a result of the death of a person who
dies on or after the effective date of this Act. A transfer of
property that occurs as a result of the death of a person who dies
before the effective date of this Act is governed by the law in
effect on the date of the person's death, and that law is continued
in effect for that purpose.
SECTION 13. This Act takes effect September 1, 2009.