83R23383 ADM-F
By: Hilderbran H.B. No. 3388
Substitute the following for H.B. No. 3388:
By: Hilderbran C.S.H.B. No. 3388
A BILL TO BE ENTITLED
AN ACT
relating to the computation of costs of goods sold for purposes of
the franchise tax by certain taxable entities engaged in film or
motion picture exhibition.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 171.1012, Tax Code, is amended by adding
Subsection (r) to read as follows:
(r) If a taxable entity that is a movie theater elects to
subtract cost of goods sold, the cost of goods sold for the taxable
entity shall be the costs described by this section in relation to
the acquisition, production, exhibition, or use of a film or motion
picture, including expenses for the right to use the film or motion
picture.
SECTION 2. This Act is a clarification of existing law and
does not imply that existing law may be construed as inconsistent
with the law as amended by this Act.
SECTION 3. This Act takes effect September 1, 2013.