81R3297 KLA-D
By: Ellis S.B. No. 694
A BILL TO BE ENTITLED
AN ACT
relating to certain reimbursements and discounts provided for
collecting sales and use taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 151.423, Tax Code, is amended to read as
follows:
Sec. 151.423. REIMBURSEMENT TO TAXPAYER FOR TAX
COLLECTIONS. Subject to Section 151.4241, a [A] taxpayer may
deduct and withhold one-half of one percent of the amount of taxes
due from the taxpayer on a timely return as reimbursement for the
cost of collecting the taxes imposed by this chapter. [The
comptroller shall provide a card with each form distributed for the
collection of taxes under this chapter. The card may be inserted by
the taxpayer with the tax payment to provide for contribution of all
or part of the reimbursement provided by this section for use as
grants under Subchapter M, Chapter 56, Education Code. If the
taxpayer chooses to contribute the reimbursement for the grants,
the taxpayer shall include the amount of the reimbursement
contribution with the tax payment. The comptroller shall transfer
money contributed under this section for grants under Subchapter M,
Chapter 56, Education Code, to the appropriate fund.]
SECTION 2. Sections 151.424(a) and (c), Tax Code, are
amended to read as follows:
(a) Subject to Section 151.4241, a [A] taxpayer who prepays
the taxpayer's tax liability on the basis of a reasonable estimate
of the tax liability for a quarter in which a prepayment is made or
for a month in which a prepayment is made may deduct and withhold
1.25 percent of the amount of the prepayment in addition to the
amount permitted to be deducted and withheld under Section 151.423
[of this code]. A reasonable estimate of the tax liability must be
at least 90 percent of the tax ultimately due or the amount of tax
paid in the same quarter, or month, if a monthly prepayer, in the
last preceding year. Failure to prepay a reasonable estimate of the
tax will result in the loss of the entire prepayment discount.
(c) A taxpayer who prepays the tax liability as permitted by
this section must file a report when due as provided by this
chapter. The amount of a prepayment made by a taxpayer under this
section shall be credited against the amount of actual tax
liability of the taxpayer as shown on the tax report of the
taxpayer. If there is a tax liability owed by the taxpayer in
excess of the prepayment credit, the taxpayer shall send to the
comptroller the remaining tax liability at the time of filing the
quarterly or monthly report. Subject to Section 151.4241, the
[The] taxpayer is entitled to the deduction permitted under Section
151.423 [of this code] on the amount of the remaining tax liability.
SECTION 3. Subchapter I, Chapter 151, Tax Code, is amended
by adding Section 151.4241 to read as follows:
Sec. 151.4241. LIMITATION ON AMOUNTS OF REIMBURSEMENTS AND
DISCOUNTS. (a) The sum of the amounts deducted and withheld by a
taxpayer under Sections 151.423 and 151.424 may not exceed $10,000
each state fiscal year.
(b) The comptroller shall adopt rules for determining to
which state fiscal year amounts deducted and withheld by a taxpayer
under Section 151.424 will be allocated for purposes of this
section.
SECTION 4. Section 151.801, Tax Code, is amended by
amending Subsection (a) and adding Subsection (a-1) to read as
follows:
(a) Except for the amounts allocated under Subsections
(a-1), (b), and (c), all proceeds from the collection of the taxes
imposed by this chapter shall be deposited to the credit of the
general revenue fund.
(a-1) The comptroller shall calculate the difference
between the amount of the proceeds from the collection of the taxes
imposed by this chapter that, in the absence of the limitation on
reimbursements and discounts specified by Section 151.4241,
taxpayers would deduct and withhold under Sections 151.423 and
151.424, and the amount that taxpayers actually deduct and withhold
under those sections after applying the limitation specified by
Section 151.4241. The comptroller shall deposit an amount equal to
that difference in the following order:
(1) an amount each state fiscal year equal to the
greatest amount contributed by taxpayers in a single state fiscal
year under Section 151.423, Tax Code, as that section existed on
January 1, 2009, in the period beginning September 1, 1999, and
ending August 31, 2009, for use as grants under Subchapter M,
Chapter 56, Education Code, shall be deposited to an account in the
general revenue fund and may be appropriated only to provide grants
under that subchapter; and
(2) the remainder as follows:
(A) one-half shall be deposited to the credit of
the children's health insurance program account in the general
revenue fund and may be appropriated only to the Health and Human
Services Commission for the child health plan program authorized by
Chapter 62, Health and Safety Code; and
(B) one-half shall be deposited to the credit of
the medical assistance account in the general revenue fund and may
be appropriated only to the Health and Human Services Commission
for the medical assistance program authorized by Chapter 32, Human
Resources Code.
SECTION 5. Section 151.423, Tax Code, as amended by this
Act, applies to a tax report due on or after the effective date of
this Act. A tax report due before the effective date of this Act is
governed by the law in effect on the date the tax report was due, and
the former law is continued in effect for that purpose.
SECTION 6. Section 151.424, Tax Code, as amended by this
Act, applies to a prepayment of tax liability made on or after the
effective date of this Act. A prepayment of tax liability made
before the effective date of this Act is governed by the law in
effect on the date the prepayment was made, and the former law is
continued in effect for that purpose.
SECTION 7. The change in law made by this Act does not
affect tax liability accruing before the effective date of this
Act. That liability continues in effect as if this Act had not been
enacted, and the former law is continued in effect for the
collection of taxes due and for civil and criminal enforcement of
the liability for those taxes.
SECTION 8. This Act takes effect September 1, 2009.