83R24777 ADM-F
By: Deuell S.B. No. 997
(Hughes)
Substitute the following for S.B. No. 997: No.
A BILL TO BE ENTITLED
AN ACT
relating to the sales and use tax consequences of economic
development agreements made by certain municipalities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 321.203, Tax Code, is amended by adding
Subsections (c-4) and (c-5) to read as follows:
(c-4) Subsection (c) does not apply if:
(1) the taxable item is shipped or delivered from a
warehouse:
(A) located in a municipality with a population
of 5,000 or less;
(B) that is a place of business of the retailer;
(C) in relation to which the retailer has an
economic development agreement with the municipality that was
entered into under Chapter 380, 504, or 505, Local Government Code,
or a predecessor statute, before January 1, 2009; and
(D) in relation to which the municipality
provided information relating to the economic development
agreement as required by Subsection (c-3), as that subsection
existed immediately before its expiration; and
(2) the place of business of the retailer at which the
retailer first receives the order in the manner described by
Subsection (c) is a retail outlet identified in the information
required by Subsection (c-3), as that subsection existed
immediately before its expiration, as being served by the warehouse
on January 1, 2009.
(c-5) This subsection and Subsection (c-4) expire September
1, 2024.
SECTION 2. Section 323.203, Tax Code, is amended by adding
Subsections (c-4) and (c-5) to read as follows:
(c-4) Subsection (c) does not apply if:
(1) the taxable item is shipped or delivered from a
warehouse:
(A) located in a municipality with a population
of 5,000 or less;
(B) that is a place of business of the retailer;
(C) in relation to which the retailer has an
economic development agreement with the municipality that was
entered into under Chapter 380, 504, or 505, Local Government Code,
or a predecessor statute, before January 1, 2009; and
(D) in relation to which the municipality
provided information relating to the economic development
agreement as required by Section 321.203(c-3), as that subsection
existed immediately before its expiration; and
(2) the place of business of the retailer at which the
retailer first receives the order in the manner described by
Subsection (c) is a retail outlet identified in the information
required by Section 321.203(c-3), as that subsection existed
immediately before its expiration, as being served by the warehouse
on January 1, 2009.
(c-5) This subsection and Subsection (c-4) expire September
1, 2024.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2013.