Texas 2011 - 82nd Regular

Texas Senate Bill SB393

Voted on by Senate
 
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to amended sales tax reports and the reallocation of sales tax revenue.

Impact

By enabling local governmental entities to amend tax reports and streamline the reallocation of tax revenues, SB393 seeks to enhance tax compliance and accuracy. Specifically, the bill ensures that tax revenues are allocated correctly, potentially reducing financial discrepancies between municipalities and the state. It sets the groundwork for financial accountability and creates standards that the comptroller must follow when reallocating funds, which may help to alleviate disputes over tax revenues among local governments.

Summary

SB393 amends the Texas Tax Code by introducing provisions regarding amended sales tax reports and the reallocation of sales tax revenue among municipalities and local governmental entities. The bill allows taxpayers to amend previously filed sales tax reports within the applicable statute of limitations, provided they follow prescribed procedures and include an explanation for the amendments. Additionally, the bill outlines the process for reallocating local tax revenue if it has been incorrectly sent to one municipality or local governmental entity, intended for a situation where the reallocation amount meets certain thresholds.

Sentiment

The general sentiment surrounding SB393 appears to be positive among legislators who believe it offers necessary clarity and structure to the oversight of sales tax-related processes. Proponents likely appreciate the bill's attempt to simplify and correct tax reporting and revenue allocation, which could lead to improved financial transparency. However, there may be concerns regarding the enforcement of these amendments and whether they adequately protect municipalities from potential revenue losses due to reallocations.

Contention

Some notable points of contention around SB393 may arise from the redistribution of funds, as municipalities that are found to have incorrectly allocated tax revenues could face significant losses as a result of the reallocation process. Additionally, the requirement for local governments to undergo audits following a reallocation may provoke debates on the fairness and implications for local administrative costs. Opponents might argue that the bill could disproportionately affect smaller municipalities that could struggle to manage the administrative requirements or may not have sufficient resources to challenge a reallocation.

Companion Bills

TX HB590

Identical Relating to the consummation of sales for purposes of local sales and use taxes and to the reallocation of those taxes.

Previously Filed As

TX HB5

Relating to agreements authorizing a limitation on taxable value of certain property to provide for the creation of jobs and the generation of state and local tax revenue; authorizing fees; authorizing penalties.

TX SB176

Relating to the establishment of the Texas Parental Empowerment Program and an insurance premium tax credit for contributions made for purposes of that program.

TX HB4807

Relating to the establishment of the Texas Parental Empowerment Program and an insurance premium tax credit for contributions made for purposes of that program.

TX HB27

Relating to the establishment of the Texas Parental Empowerment Program and an insurance premium tax credit for contributions made for purposes of that program.

TX HJR185

Proposing a constitutional amendment relating to the appropriation of the net revenue received from the imposition of state sales and use taxes on sporting goods.

TX SB2070

Relating to the funding of projects by the Public Utility Commission of Texas to promote the reliability and resiliency of the power grid in this state; authorizing the issuance of revenue bonds.

TX SB2369

Relating to the reliability and resiliency of the power grid in this state; authorizing the issuance of revenue bonds.

TX HB2223

Relating to the temporary exemption of certain tangible personal property related to virtual currency mines from sales and use taxes.

TX HB3998

Relating to the use of certain revenue derived from state sales and use taxes to provide grants to incentivize the recycling of certain electronics.

TX SB2357

Relating to ad valorem taxation.

Similar Bills

TX HB590

Relating to the consummation of sales for purposes of local sales and use taxes and to the reallocation of those taxes.

IL HB5011

GOV ACCOUNT AUDIT-TOWNSHIPS

TX SB636

Relating to the imposition of the franchise tax and local sales and use taxes, including the authority of a county or other local governmental entity to receive local sales tax information.

IL HB1911

GOV ACCOUNT AUDIT-TOWNSHIPS

IL HB2352

GOVT ACCOUNT AUDIT THRESHOLD

IL SB1408

GOVT ACCOUNT AUDIT THRESHOLD

TX HB1370

Relating to sales and use tax information provided to certain local governmental entities.

TX SB1634

Relating to the administration, collection, and enforcement of sales and use taxes.