83R11853 SCL-D
By: Deuell S.B. No. 1498
A BILL TO BE ENTITLED
AN ACT
relating to a sales tax exemption for certain items sold to or used
by certain venues that present live music.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter H, Chapter 151, Tax Code, is amended
by adding Section 151.360 to read as follows:
Sec. 151.360. LIVE MUSIC PRESENTERS. (a) In this section:
(1) "Bar" means a retail business establishment the
primary purpose of which is the sale of alcoholic beverages for
on-premises consumption.
(2) "Live music presenter" means a bar, nightclub, or
restaurant that features a live music performance at least four
nights each week.
(3) "Nightclub" means a retail business establishment
the primary purpose of which is to provide a forum for dancing where
alcoholic beverages are sold for on-premises consumption. The term
includes a dance hall where alcoholic beverages are sold for
on-premises consumption.
(4) "Restaurant" means a place where food is sold for
on-premises consumption.
(b) The following items are exempted from the taxes imposed
by this chapter if sold to or used or otherwise consumed by a live
music presenter:
(1) an item related to the performance of live music
that is eligible for the exemption authorized by Section
151.3185(a)(2)(A) for producers of audio recordings;
(2) sound and lighting system equipment; and
(3) labor related to music-related equipment or
materials, including construction related to sound mitigation.
SECTION 2. Section 151.360, Tax Code, as added 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 3. This Act takes effect September 1, 2013.