82R5803 ALL-F
By: Lyne H.B. No. 2048
A BILL TO BE ENTITLED
AN ACT
relating to the collection and enforcement of state and local hotel
occupancy taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter F, Chapter 156, Tax Code, is amended
by adding Section 156.2513 to read as follows:
Sec. 156.2513. ALLOCATION OF REVENUE TO CERTAIN
MUNICIPALITIES AND COUNTIES. Not later than the last day of the
month following a calendar quarter, the comptroller shall:
(1) compute the amount of revenue, excluding penalties
and interest, derived from the collection of taxes imposed by this
chapter that resulted from documentation or other information
described by Section 351.008 or 352.008; and
(2) issue a warrant drawn on the general revenue fund
in the amount of 20 percent of the revenue computed under
Subdivision (1) to the municipality or county that provided the
documentation or other information, subject to Sections 351.008(c)
and 352.008(c).
SECTION 2. Sections 351.004(a), (a-1), (a-2), and (a-3),
Tax Code, are amended to read as follows:
(a) The [municipal attorney or other attorney acting for
the] municipality may bring suit against a person who is required to
collect the tax imposed by this chapter and pay the collections over
to the municipality, and who has failed to file a tax report or pay
the tax when due, to collect the tax not paid or to enjoin the person
from operating a hotel in the municipality until the tax is paid or
the report filed, as applicable, as provided by the court's
order. In addition to the amount of any tax owed under this
chapter, the person is liable to the municipality for:
(1) the municipality's reasonable attorney's fees;
(2) the costs of an audit conducted under Subsection
(a-1)(1), as determined by the municipality using a reasonable rate
[, but only if the tax has been delinquent for at least two complete
municipal fiscal quarters at the time the audit is conducted]; and
(3) a penalty equal to 15 percent of the total amount
of the tax owed.
(a-1) If a person required to file a tax report under this
chapter does not file the report as required by the municipality,
the [municipal attorney or other attorney acting for the]
municipality may determine the amount of tax due under this chapter
by:
(1) conducting an audit of each hotel in relation to
which the person did not file the report as required by the
municipality; or
(2) using the tax report filed for the appropriate
reporting period under Section 156.151 in relation to that hotel.
(a-2) If the person did not file a tax report under Section
156.151 for that reporting period in relation to that hotel, the
[municipal attorney or other attorney acting for the] municipality
may estimate the amount of tax due by using the tax reports in
relation to that hotel filed during the previous calendar year
under this chapter or Section 156.151. An estimate made under this
subsection is prima facie evidence of the amount of tax due for that
period in relation to that hotel.
(a-3) The authority to conduct an audit under this section
is in addition to any other audit authority provided by statute,
charter, or ordinance. A municipality may directly perform an
audit authorized by this section or contract with another person to
perform the audit.
SECTION 3. Subchapter A, Chapter 351, Tax Code, is amended
by adding Section 351.008 to read as follows:
Sec. 351.008. CONCURRENT STATE TAX DELINQUENCY. (a) If, as
a result of an audit conducted under Section 351.004, a
municipality obtains documentation or other information showing a
failure to collect or pay when due both the tax imposed by this
chapter and the tax imposed by Chapter 156 on a person who pays for
the right to occupy a room or space in a hotel, the municipality
shall notify and submit the relevant information to the
comptroller.
(b) The comptroller shall review the information submitted
by a municipality under Subsection (a) and determine whether to
proceed with collection and enforcement efforts. Except as
provided by Subsection (c), if the information results in the
collection of a delinquent tax under Chapter 156, the comptroller
shall distribute a percentage of the amount collected to the
municipality as provided by Section 156.2513 to defray the cost of
the municipal audit.
(c) A municipality may not receive a percentage of the
amount collected under Subsection (b) if the information submitted
under Subsection (a) was obtained as a result of an audit performed
on a contingent fee basis.
SECTION 4. Section 352.004, Tax Code, is amended by adding
Subsection (e) to read as follows:
(e) If a person required to file a tax report under this
chapter does not file the report as required by the county, the
county may determine the amount of tax due under this chapter by
conducting an audit of each hotel in relation to which the person
did not file the report as required by the county. A county may
directly perform an audit authorized under this subsection or
contract with another person to perform the audit.
SECTION 5. Subchapter A, Chapter 352, Tax Code, is amended
by adding Section 352.008 to read as follows:
Sec. 352.008. CONCURRENT STATE TAX DELINQUENCY. (a) If, as
a result of an audit conducted under Section 352.004, a county
obtains documentation or other information showing a failure to
collect or pay when due both the tax imposed by this chapter and the
tax imposed by Chapter 156 on a person who pays for the right to
occupy a room or space in a hotel, the county shall notify and
submit the relevant information to the comptroller.
(b) The comptroller shall review the information submitted
by a county under Subsection (a) and determine whether to proceed
with collection and enforcement efforts. Except as provided by
Subsection (c), if the information results in the collection of a
delinquent tax under Chapter 156, the comptroller shall distribute
a percentage of the amount collected to the county as provided by
Section 156.2513 to defray the cost of the county audit.
(c) A county may not receive a percentage of the amount
collected under Subsection (b) if the information submitted under
Subsection (a) was obtained as a result of an audit performed on a
contingent fee basis.
SECTION 6. The change in law made by this Act applies only
to an audit performed by a municipality or county on or after the
effective date of this Act. An audit performed by a municipality or
county before the effective date of this Act is governed by the law
in effect immediately before that date, and that law is continued in
effect for that purpose.
SECTION 7. This Act takes effect September 1, 2011.