Texas 2015 - 84th Regular

Texas House Bill HB3482 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	By: Bonnen of Brazoria H.B. No. 3482
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the franchise tax; decreasing franchise tax rates.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 111.0626(a), Tax Code, is amended to
9	9	read as follows:
10	10	(a) The comptroller by rule shall require electronic filing
11	11	of:
12	12	(1) a report required under Chapter 151, 201, or 202,
13	13	or an international fuel tax agreement, for a taxpayer who is also
14	14	required under Section 111.0625 to transfer payments by electronic
15	15	funds transfer; and
16	16	(2) a report required under Section 171.204.
17	17	SECTION 2. Sections 171.002(a) and (b), Tax Code, are
18	18	amended to read as follows:
19	19	(a) Subject to Sections 171.003 and 171.1016 and except as
20	20	provided by Subsection (b), the rate of the franchise tax is 0.95
21	21	[one] percent of taxable margin.
22	22	(b) Subject to Sections 171.003 and 171.1016, the rate of
23	23	the franchise tax is 0.475 [0.5] percent of taxable margin for those
24	24	taxable entities primarily engaged in retail or wholesale trade.
25	25	SECTION 3. Section 171.1012, Tax Code, is amended by adding
26	26	Subsection (p) to read as follows:
27	27	(p) Notwithstanding Subsection (e)(2) or any other
28	28	provision of this section, the cost of goods sold includes the costs
29	29	attributable to the acceptance of credit cards and debit cards as a
30	30	means of payment.
31	31	SECTION 4. Section 171.1013(c), Tax Code, is amended to
32	32	read as follows:
33	33	(c) Notwithstanding the actual amount of wages and cash
34	34	compensation paid by a taxable entity to its officers, directors,
35	35	owners, partners, and employees, a taxable entity may not include
36	36	more than $301,000 [$300,000], or the amount determined under
37	37	Section 171.006, per 12-month period on which margin is based, for
38	38	any person in the amount of wages and cash compensation it
39	39	determines under this section. If a person is paid by more than one
40	40	entity of a combined group, the combined group may not subtract in
41	41	relation to that person a total of more than $301,000 [$300,000], or
42	42	the amount determined under Section 171.006, per 12-month period on
43	43	which margin is based.
44	44	SECTION 5. Section 171.106, Tax Code, is amended by adding
45	45	Subsection (h) to read as follows:
46	46	(h) A taxable entity that is a broadcaster shall include in
47	47	the numerator of the broadcaster's apportionment factor receipts
48	48	arising from a broadcast or other distribution of film programming
49	49	by any means only if the legal domicile of the broadcaster's
50	50	customer is in this state. This subsection applies only to receipts
51	51	that are licensing income from distributing film programming. In
52	52	this subsection:
53	53	(1) "Broadcaster" means a taxable entity, not
54	54	including a cable service provider or a direct broadcast satellite
55	55	service, that is a:
56	56	(A) television station licensed by the Federal
57	57	Communications Commission;
58	58	(B) television broadcast network;
59	59	(C) cable television network; or
60	60	(D) television distribution company.
61	61	(2) "Customer" means a person, including a license
62	62	holder, that has a direct connection or contractual relationship
63	63	with a broadcaster under which the broadcaster derives revenue.
64	64	(3) "Film programming" means all or part of a live or
65	65	recorded performance, event, or production intended to be
66	66	distributed for visual and auditory perception by an audience.
67	67	(4) "Programming" includes news, entertainment,
68	68	sporting events, plays, stories, or other literary, commercial,
69	69	educational, or artistic works.
70	70	SECTION 6. (a) The comptroller of public accounts shall
71	71	conduct a comprehensive study that:
72	72	(1) analyzes and compares:
73	73	(A) the feasibility of implementing alternative
74	74	methods to the franchise tax imposed under Chapter 171, Tax Code, by
75	75	which revenue may be generated to address the needs of this state;
76	76	and
77	77	(B) the effectiveness of each of those methods in
78	78	generating sufficient revenue to address those needs; and
79	79	(2) prioritizes the revenue needs of this state and
80	80	identifies potential reductions in expenditures by this state.
81	81	(b) The comptroller of public accounts shall consider the
82	82	funding priorities and requirements established by the Texas
83	83	Constitution in prioritizing the revenue needs of this state as
84	84	required by Subsection (a)(2) of this section.
85	85	(c) This section takes effect September 1, 2015.
86	86	SECTION 7. This Act applies only to a report originally due
87	87	on or after the effective date of this Act.
88	88	SECTION 8. Except as otherwise provided by this Act, this
89	89	Act takes effect January 1, 2016.