LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION April 6, 2015 TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2865 by Burkett (Relating to electronic filing of certain reports; providing a penalty.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB2865, As Introduced: a positive impact of $5,500,000 through the biennium ending August 31, 2017.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
April 6, 2015
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2865 by Burkett (Relating to electronic filing of certain reports; providing a penalty.), As Introduced
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB2865 by Burkett (Relating to electronic filing of certain reports; providing a penalty.), As Introduced
Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB2865 by Burkett (Relating to electronic filing of certain reports; providing a penalty.), As Introduced
HB2865 by Burkett (Relating to electronic filing of certain reports; providing a penalty.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB2865, As Introduced: a positive impact of $5,500,000 through the biennium ending August 31, 2017.
Estimated Two-year Net Impact to General Revenue Related Funds for HB2865, As Introduced: a positive impact of $5,500,000 through the biennium ending August 31, 2017.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2016 $3,000,000 2017 $2,500,000 2018 $1,500,000 2019 $500,000 2020 $200,000
2016 $3,000,000
2017 $2,500,000
2018 $1,500,000
2019 $500,000
2020 $200,000
All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 2016 $3,000,000 2017 $2,500,000 2018 $1,500,000 2019 $500,000 2020 $200,000
Fiscal Year Probable Revenue Gain fromGeneral Revenue Fund1 2016 $3,000,000 2017 $2,500,000 2018 $1,500,000 2019 $500,000 2020 $200,000
2016 $3,000,000
2017 $2,500,000
2018 $1,500,000
2019 $500,000
2020 $200,000
Fiscal Analysis
The bill would amend Chapters 111 and 171 of the Tax Code to require electronic filing of an information report required from entities subject to the franchise tax but which have no franchise tax liability because the entity's total revenue from its entire business is less than or equal to an amount specified in Section 171.002(d)(2), which is currently $1,080,000. The bill would also add a $50 penalty for failing to file the information report electronically. This penalty is in addition to the $50 penalty for failing to file the report in any manner. The penalty would not apply to a taxable entity that qualifies for a waiver from the electronic filing requirement. The bill would repeal Section 111.0626(b) which allows the Comptroller to adopt rules requiring electronic filing of a report not described in the section. The bill would take effect September 1, 2015.
Methodology
The estimated fiscal impact of the bill is based on information from the Comptroller's Revenue Administration Division.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: UP, KK, SD
UP, KK, SD