By: Perry S.B. No. 757
(In the Senate - Filed February 25, 2015; February 25, 2015,
read first time and referred to Committee on Finance;
March 17, 2015, reported favorably by the following vote: Yeas 13,
Nays 2; March 17, 2015, sent to printer.)
Click here to see the committee vote
A BILL TO BE ENTITLED
AN ACT
relating to the repeal of the production taxes on crude petroleum
and sulphur.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The following provisions are repealed:
(1) Sections 81.111, 81.112, 81.113, and 81.114,
Natural Resources Code; and
(2) Chapter 203, Tax Code.
SECTION 2. Section 355.102(f), Estates Code, is amended to
read as follows:
(f) Class 5 claims are composed of claims for taxes,
penalties, and interest due under Title 2, Tax Code, Chapter 2153,
Occupations Code, former Section 81.111, Natural Resources Code,
the Municipal Sales and Use Tax Act (Chapter 321, Tax Code), Section
451.404, Transportation Code, or Subchapter I, Chapter 452,
Transportation Code.
SECTION 3. Section 81.018(a), Natural Resources Code, is
amended to read as follows:
(a) Salaries and other expenses necessary in the
administration and enforcement of the oil and gas laws shall be paid
by warrants drawn by the comptroller on the State Treasury from
general revenue [funds provided under Section 81.112 of this code].
SECTION 4. The heading to Subchapter E, Chapter 81, Natural
Resources Code, is amended to read as follows:
SUBCHAPTER E. FEES [TAX]
SECTION 5. Section 81.116(b), Natural Resources Code, is
amended to read as follows:
(b) The fee is in addition to, and independent of any
liability for, the tax [taxes] imposed under [Section 81.111 of
this code and] Chapter 202, Tax Code.
SECTION 6. Section 112.155(a), Tax Code, is amended to read
as follows:
(a) The amount of a judgment for the plaintiff shall be
credited against any tax, penalty, or interest imposed by this
title [or by Section 81.111, Natural Resources Code,] and due from
the plaintiff.
SECTION 7. Section 151.308, Tax Code, is amended to read as
follows:
Sec. 151.308. ITEMS TAXED BY OTHER LAW. (a) The following
are exempted from the taxes imposed by this chapter:
(1) oil as taxed by Chapter 202;
(2) [sulphur as taxed by Chapter 203;
[(3)] motor fuels and special fuels as defined, taxed,
or exempted by Chapter 162;
(3) [(4)] cement as taxed by Chapter 181;
(4) [(5)] motor vehicles, trailers, and semitrailers
as defined, taxed, or exempted by Chapter 152, other than a mobile
office or an oilfield portable unit, as those terms are defined by
Section 152.001;
(5) [(6)] mixed beverages, ice, or nonalcoholic
beverages and the preparation or service of these items if the
receipts are taxable by Subchapter B, Chapter 183, or the items are
taxable by Subchapter B-1, Chapter 183;
(6) [(7)] alcoholic beverages when sold to the holder
of a private club registration permit or to the agent or employee of
the holder of a private club registration permit if the holder or
agent or employee is acting as the agent of the members of the club
and if the beverages are to be served on the premises of the club;
(7) [(8)] oil well service as taxed by Subchapter E,
Chapter 191; and
(8) [(9)] insurance premiums subject to gross
premiums taxes.
(b) Natural gas is exempted under Subsection (a)(2)
[(a)(3)] only to the extent that the gas is taxed as a motor fuel
under Chapter 162.
SECTION 8. Subchapter H, Chapter 151, Tax Code, is amended
by adding Section 151.3171 to read as follows:
Sec. 151.3171. SULPHUR. Sulphur is exempted from the taxes
imposed by this chapter.
SECTION 9. The change in law made by this Act does not
affect tax liability accruing before the effective date of this
Act. That liability continues in effect as if this Act had not been
enacted, and the former law is continued in effect for the
collection of taxes due and for civil and criminal enforcement of
the liability for those taxes.
SECTION 10. This Act takes effect September 1, 2015.
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