84R8237 TJB-D
By: Sanford H.B. No. 2427
A BILL TO BE ENTITLED
AN ACT
relating to a franchise tax credit for taxable entities that pay
tolls and other charges for use of a toll road.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 171, Tax Code, is amended by adding
Subchapter N to read as follows:
SUBCHAPTER N. TAX CREDIT FOR TOLLS PAID
Sec. 171.701. ENTITLEMENT TO CREDIT. A taxable entity is
entitled to a credit in the amount and under the conditions and
limitations provided by this subchapter against the tax imposed
under this chapter.
Sec. 171.702. QUALIFICATION. A taxable entity qualifies
for a credit under this subchapter if the taxable entity pays a toll
or other charge imposed for the use of a toll road located in this
state.
Sec. 171.703. AMOUNT; LIMITATIONS. (a) The amount of the
credit is equal to 50 percent of the total amount of tolls and other
charges paid by the taxable entity during a reporting period for the
use of a toll road located in this state.
(b) A taxable entity may not convey, assign, or transfer a
credit under this subchapter to another entity unless all of the
assets of the taxable entity are conveyed, assigned, or transferred
in the same transaction.
Sec. 171.704. APPLICATION FOR CREDIT. A taxable entity
must apply for a credit under this subchapter on or with the tax
report for the period for which the credit is claimed.
Sec. 171.705. RULES. The comptroller shall adopt rules
necessary to implement this subchapter.
SECTION 2. This Act applies only to a report originally due
on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2016.