83R7206 TJB-F
By: Deuell S.B. No. 1634
A BILL TO BE ENTITLED
AN ACT
relating to the administration, collection, and enforcement of
sales and use taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 111.0045, Tax Code, is amended by adding
Subsection (c) to read as follows:
(c) The comptroller may delegate to a person employed or
designated by a municipality or county the power to perform duties
as provided by Sections 321.302(c)(4) and 323.302(c)(4).
SECTION 2. Section 151.023(b), Tax Code, is amended to read
as follows:
(b) For the purpose of determining the amount of tax
collected and payable to the state and a municipality, county, or
other local governmental entity, the amount of tax accruing and
due, and whether a tax liability has been incurred under this
chapter and Chapter 321, 322, or 323, the comptroller or a person
authorized by the comptroller may:
(1) inspect at any time during business hours any
business premises where a taxable event has occurred and examine,
copy, and photograph the books, returns, records, papers, and
equipment relating to the conduct in question; and
(2) require by delivery of written notice to the
taxpayer or to an employee, representative, or agent of the
taxpayer that, not later than the 10th working day after the date
the notice is delivered, the taxpayer produce to an agent or
designated representative of the comptroller for inspection the
books, records, papers, and returns relating to the taxable
activity stated in the notice.
SECTION 3. Section 151.027(c), Tax Code, is amended to read
as follows:
(c) This section does not prohibit:
(1) the examination of information, if authorized by
the comptroller, by another state officer or law enforcement
officer, by a tax official of another state, by a tax official of
the United Mexican States, or by an official of the United States if
a reciprocal agreement exists;
(2) the delivery to a taxpayer, or a taxpayer's
authorized representative, of a copy of a report or other paper
filed by the taxpayer under this chapter;
(3) the publication of statistics classified to
prevent the identification of a particular report or items in a
particular report;
(4) the use of records, reports, or information
secured, derived, or obtained by the attorney general or the
comptroller in an action under this chapter against the same
taxpayer who furnished the information;
(5) the delivery to a successor, receiver, executor,
administrator, assignee, or guarantor of a taxpayer of information
about items included in the measure and amounts of any unpaid tax or
amounts of tax, penalties, and interest required to be collected;
(6) the delivery of information, including complete
audit and tax compliance information, to a municipality, county, or
other local governmental entity in accordance with Section
321.3022, 321.3023, 322.2022, [or] 323.3022, or 323.3023; or
(7) the release of information in or derived from a
record, report, or other instrument required to be furnished under
this chapter by a governmental body, as that term is defined in
Section 552.003, Government Code.
SECTION 4. Section 321.302, Tax Code, is amended by
amending Subsections (b) and (c) and adding Subsections (e) and (f)
to read as follows:
(b) If a municipality requests an additional report, the
comptroller shall make an additional quarterly report to the
municipality including the name, address, and account number, if
any, of, and the amount of tax received and the amount due to the
municipality from, each person doing business in the municipality
who has failed to pay the tax under this chapter to the municipality
or under Chapter 151. The additional report must also include
statements:
(1) showing whether or not there has been a partial tax
payment, and, if so, the proportional allocation to the
municipality of the partial payment, by the delinquent taxpayer;
(2) showing whether or not the taxpayer is delinquent
in the payment of sales and use taxes to the state; [and]
(3) describing the steps taken by the comptroller to
collect the delinquent taxes;
(4) showing the tax periods covered by the
delinquencies and the amount of delinquency in each period; and
(5) if the comptroller has not made the appropriate
allocation to the municipality, the date by which the comptroller
will make that allocation.
(c) If a municipality determines that a person doing
business in the municipality has wholly or partly collected or
reported taxes incorrectly under this chapter [is not included in a
comptroller's report], the municipality shall report to the
comptroller the name and address of the person. Within 120 [90]
days after receiving the report from a municipality, the
comptroller shall send to the municipality:
(1) an explanation as to why the person is not
obligated for the municipal tax;
(2) a statement that the person is obligated for the
municipal tax and the tax is delinquent that includes:
(A) a description of the action the comptroller
is taking to collect the delinquent tax;
(B) an estimate of the delinquent tax due to the
municipality and the tax periods covered by the delinquency;
(C) the date by which the comptroller will
complete the review and the date by which the comptroller will make
all delinquent funds available to the municipality; and
(D) the date and periods covered by the most
recent audit of the person by the comptroller or a statement that
the comptroller has not conducted an audit of the person; [or]
(3) a certification that the person is obligated for
the municipal tax, the periods for which the person is obligated,
[and that] the [full] amount of the tax due in each period that the
person is obligated, and a statement as to whether the tax due has
been credited to the municipality's account; or
(4) a statement authorizing a person employed by or
designated by the municipality to perform the duties assigned to
the comptroller under Sections 111.004 and 151.023.
(e) If a municipality disagrees with a determination made by
the comptroller under Subsection (c), the municipality may petition
the comptroller for a redetermination under Section 111.009. For
purposes of that section and any related provisions in Chapter 111,
a municipality is a party having a direct interest in the
comptroller's determination.
(f) The comptroller may set and collect from the
municipality or other local governmental entity reasonable fees to
cover the expense of compiling and providing information or
providing access to the administrative appeals process authorized
by this section.
SECTION 5. Sections 321.3022(a-1) and (c), Tax Code, are
amended to read as follows:
(a-1) Except as otherwise provided by this section, the
comptroller on request shall provide to a municipality or other
local governmental entity that has adopted a tax under this
chapter:
(1) information relating to the amount of tax paid to
the municipality or other local governmental entity under this
chapter during the preceding or current calendar year by each
person doing business in the municipality or other local
governmental entity who annually remits to the comptroller state
and local sales tax payments of more than $5,000; [and]
(2) information relating to the gross sales, taxable
sales, and taxable purchases by each person doing business in the
municipality by individual outlet as reported to the comptroller on
a sales and use tax return; and
(3) any other information as provided by this section.
(c) The comptroller on request shall provide to a
municipality or other local governmental entity a sales and use tax
audit report, including any supporting documentation, related to
applicable local sales tax collections and corrections [shall
provide the information under Subsection (b) as an aggregate total
for all persons doing business in the defined area without
disclosing individual tax payments].
SECTION 6. Subchapter D, Chapter 321, Tax Code, is amended
by adding Section 321.3023 to read as follows:
Sec. 321.3023. CLARIFICATION REQUEST. (a) A municipality
or other local governmental entity that has adopted a tax under this
chapter may submit to the comptroller a request for a determination
of the appropriate location at which sales or uses were consummated
in accordance with Sections 321.203 and 321.205. The request may
include a question in relation to specific sales or uses or may
include a fact pattern relating to sales and uses.
(b) The comptroller shall respond to the request by a
municipality or other local governmental entity under this section
not later than the 90th day after the date the comptroller receives
the request. The response must include a statement of the
comptroller's determination.
(c) A municipality may use the response from the comptroller
in communications with a person, office, or outlet to encourage or
compel compliance with this chapter.
SECTION 7. Section 322.108(a), Tax Code, is amended to read
as follows:
(a) Except as provided by Subsection (b), the following
apply to the taxes imposed by this chapter in the same manner as
applicable to a municipality under Chapter 321:
(1) Section 321.002(a)(3);
(2) Section 321.003;
(3) Section 321.203;
(4) Section 321.205(d);
(5) Section 321.208;
(6) Section 321.209;
(7) Section 321.3023;
(8) Section 321.303;
(9) [(8)] Section 321.304;
(10) [(9)] Section 321.305; and
(11) [(10)] Section 321.510.
SECTION 8. Section 322.202(a), Tax Code, is amended to read
as follows:
(a) The comptroller shall report to a taxing entity on the
entity's sales and use taxes by making substantially the same
reports that are required to be made by the comptroller to a
municipality under Sections 321.302(a), (b), and (c). A taxing
entity that disagrees with a determination made by the comptroller
in a report made under this section may petition the comptroller in
the same manner and with the same authority and obligations as a
municipality under Sections 321.302(e) and (f).
SECTION 9. Sections 322.2022(a) and (c), Tax Code, are
amended to read as follows:
(a) Except as otherwise provided by this section, the
comptroller on request shall provide to a taxing entity:
(1) information relating to the amount of tax paid to
the entity under this chapter during the preceding or current
calendar year by each person doing business in the area included in
the entity who annually remits to the comptroller state and local
sales tax payments of more than $5,000; [and]
(2) information relating to the gross sales, taxable
sales, and taxable purchases by each person doing business in the
area included in the entity by individual outlet as reported to the
comptroller on a sales and use tax return; and
(3) any other information as provided by this section.
(c) The comptroller on request shall provide to a taxing
entity a sales and use tax audit report, including any supporting
documentation, related to applicable local sales tax collections
and corrections [shall provide the information under Subsection (b)
as an aggregate total for all persons doing business in the defined
area without disclosing individual tax payments].
SECTION 10. Section 323.302, Tax Code, is amended by
amending Subsections (b) and (c) and adding Subsections (e) and (f)
to read as follows:
(b) If a county requests an additional report, the
comptroller shall make an additional quarterly report to the county
including the name, address, and account number, if any, of, and the
amount of tax received and the amount due to the county from, each
person doing business in the county who has failed to pay the tax
under this chapter to the county or under Chapter 151. The
additional report must also include statements:
(1) showing whether or not there has been a partial tax
payment, and, if so, the proportional allocation to the county of
the partial payment, by the delinquent taxpayer;
(2) showing whether or not the taxpayer is delinquent
in the payment of sales and use taxes to the state; [and]
(3) describing the steps taken by the comptroller to
collect the delinquent taxes;
(4) showing the tax periods covered by the
delinquencies and the amount of delinquency in each period; and
(5) if the comptroller has not made the appropriate
allocation to the county, the date by which the comptroller will
make that allocation.
(c) If a county determines that a person doing business in
the county has wholly or partly collected or reported taxes
incorrectly under this chapter [is not included in a comptroller's
report], the county shall report to the comptroller the name and
address of the person. Within 120 [90] days after receiving the
report from a county, the comptroller shall send to the county:
(1) an explanation as to why the person is not
obligated for the county tax;
(2) a statement that the person is obligated for the
county tax and the tax is delinquent that includes:
(A) a description of the action the comptroller
is taking to collect the delinquent tax;
(B) an estimate of the delinquent tax due to the
county and the tax periods covered by the delinquency;
(C) the date by which the comptroller will
complete the review and the date by which the comptroller will make
all delinquent funds available to the county; and
(D) the date and periods covered by the most
recent audit of the person by the comptroller or a statement that
the comptroller has not conducted an audit of the person; [or]
(3) a certification that the person is obligated for
the county tax, the periods for which the person is obligated, [and
that] the [full] amount of the tax due in each period that the
person is obligated, and a statement as to whether the tax due has
been credited to the county's account; or
(4) a statement authorizing a person employed by or
designated by the county to perform the duties assigned to the
comptroller under Sections 111.004 and 151.023.
(e) If a county disagrees with a determination made by the
comptroller under Subsection (c), the county may petition the
comptroller for a redetermination under Section 111.009. For
purposes of that section and any related provisions in Chapter 111,
a county is a party having a direct interest in the comptroller's
determination.
(f) The comptroller may set and collect from the county or
other local governmental entity reasonable fees to cover the
expense of compiling and providing information or providing access
to the administrative appeals process authorized by this section.
SECTION 11. Sections 323.3022(b) and (d), Tax Code, are
amended to read as follows:
(b) Except as otherwise provided by this section, the
comptroller on request shall provide to a county or other local
governmental entity that has adopted a tax under this chapter:
(1) information relating to the amount of tax paid to
the county or other local governmental entity under this chapter
during the preceding or current calendar year by each person doing
business in the county or other local governmental entity who
annually remits to the comptroller state and local sales tax
payments of more than $5,000; [and]
(2) information relating to the gross sales, taxable
sales, and taxable purchases by each person doing business in the
county by individual outlet as reported to the comptroller on a
sales and use tax return; and
(3) any other information as provided by this section.
(d) The comptroller on request shall provide to a county or
other local governmental entity a sales and use tax audit report,
including any supporting documentation, related to applicable
local sales tax collections and corrections [shall provide the
information under Subsection (c) as an aggregate total for all
persons doing business in the defined area without disclosing
individual tax payments].
SECTION 12. Subchapter D, Chapter 323, Tax Code, is amended
by adding Section 323.3023 to read as follows:
Sec. 323.3023. CLARIFICATION REQUEST. (a) A county or
other local governmental entity that has adopted a tax under this
chapter may submit to the comptroller a request for a determination
of the appropriate location at which sales or uses were consummated
in accordance with Sections 323.203 and 323.205. The request may
include a question in relation to specific sales or uses or may
include a fact pattern relating to sales and uses.
(b) The comptroller shall respond to the request by a county
or other local governmental entity under this section not later
than the 90th day after the date the comptroller receives the
request. The response must include a statement of the comptroller's
determination.
(c) A county may use the response from the comptroller in
communications with a person, office, or outlet to encourage or
compel compliance with this chapter.
SECTION 13. This Act takes effect September 1, 2013.