| Old | New | Differences | |
|---|---|---|---|
| 1 | 1 | 83R2686 KLA-D | |
| 2 | 2 | By: Hilderbran H.B. No. 1289 | |
| 3 | 3 | ||
| 4 | 4 | ||
| 5 | 5 | A BILL TO BE ENTITLED | |
| 6 | 6 | AN ACT | |
| 7 | 7 | relating to the exclusion of certain transportation services costs | |
| 8 | 8 | in determining total revenue for purposes of the franchise tax. | |
| 9 | 9 | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | |
| 10 | 10 | SECTION 1. Section 171.1011, Tax Code, is amended by adding | |
| 11 | 11 | Subsection (v) to read as follows: | |
| 12 | 12 | (v) A taxable entity primarily engaged in the business of | |
| 13 | 13 | transporting commodities by waterways that does not subtract cost | |
| 14 | 14 | of goods sold in computing its taxable margin shall exclude from its | |
| 15 | 15 | total revenue direct costs of providing inbound and outbound | |
| 16 | 16 | transportation services by intrastate or interstate waterways to | |
| 17 | 17 | the same extent that a taxable entity that sells in the ordinary | |
| 18 | 18 | course of business real or tangible personal property would be | |
| 19 | 19 | authorized by Section 171.1012 to subtract those costs as costs of | |
| 20 | 20 | goods sold in computing its taxable margin. | |
| 21 | 21 | SECTION 2. This Act applies only to a report originally due | |
| 22 | 22 | on or after the effective date of this Act. | |
| 23 | 23 | SECTION 3. This Act takes effect January 1, 2014. |