LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 85TH LEGISLATIVE REGULAR SESSION March 14, 2017 TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB359 by Cyrier (Relating to the motor vehicle sales tax imposed on the purchase, rental, or use of certain emergency services vehicles.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB359, As Introduced: a negative impact of ($142,000) through the biennium ending August 31, 2019.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 85TH LEGISLATIVE REGULAR SESSION
March 14, 2017
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB359 by Cyrier (Relating to the motor vehicle sales tax imposed on the purchase, rental, or use of certain emergency services vehicles.), As Introduced
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB359 by Cyrier (Relating to the motor vehicle sales tax imposed on the purchase, rental, or use of certain emergency services vehicles.), 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
HB359 by Cyrier (Relating to the motor vehicle sales tax imposed on the purchase, rental, or use of certain emergency services vehicles.), As Introduced
HB359 by Cyrier (Relating to the motor vehicle sales tax imposed on the purchase, rental, or use of certain emergency services vehicles.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB359, As Introduced: a negative impact of ($142,000) through the biennium ending August 31, 2019.
Estimated Two-year Net Impact to General Revenue Related Funds for HB359, As Introduced: a negative impact of ($142,000) through the biennium ending August 31, 2019.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2018 ($71,000) 2019 ($71,000) 2020 ($46,000) 2021 ($46,000) 2022 ($46,000)
2018 ($71,000)
2019 ($71,000)
2020 ($46,000)
2021 ($46,000)
2022 ($46,000)
All Funds, Five-Year Impact: Fiscal Year Probable Revenue (Loss) fromGeneral Revenue Fund1 Probable Revenue (Loss) fromState Highway Fund6 2018 ($71,000) $0 2019 ($71,000) $0 2020 ($46,000) ($25,000) 2021 ($46,000) ($25,000) 2022 ($46,000) ($25,000)
Fiscal Year Probable Revenue (Loss) fromGeneral Revenue Fund1 Probable Revenue (Loss) fromState Highway Fund6 2018 ($71,000) $0 2019 ($71,000) $0 2020 ($46,000) ($25,000) 2021 ($46,000) ($25,000) 2022 ($46,000) ($25,000)
2018 ($71,000) $0
2019 ($71,000) $0
2020 ($46,000) ($25,000)
2021 ($46,000) ($25,000)
2022 ($46,000) ($25,000)
Fiscal Analysis
The bill would amend Section 152.087 of the Tax Code to exempt emergency medical services chief or supervisor vehicles from the motor vehicle sales and use tax when purchased by an entity that has an agreement with a local governmental entity to provide emergency ambulance services. The bill would take effect September 1, 2017.
Methodology
Based on Texas motor vehicle transaction records, there are approximately $1.14 million in annual taxable purchases of vehicles that would be exempted by this bill. The average annual tax revenue for those sales would be $71,000. The allocation of certain revenues to Fund 6 required by Proposition 7 are shown beginning in fiscal year 2020.
Local Government Impact
No significant fiscal implication to units of local government is anticipated. Counties could lose a minimal amount of revenue due to the motor vehicle sales and use tax exemption.
Source Agencies: 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: UP, KK, SD
UP, KK, SD