Relating to an exemption from the motor vehicle use tax for motor vehicles brought into this state by certain current or former military personnel.
Notes
The bill is set to take effect on September 1, 2017, and it explicitly states that it does not affect taxes imposed prior to its effective date, ensuring that previous tax liabilities remain unaffected. This specificity is important to clarify the bill's intention and scope.
Impact
If enacted, SB184 would modify the Texas Tax Code by adding a specific exemption within Section 152.022. As a result, qualifying individuals could benefit financially from the relief of an otherwise applicable use tax when acquiring vehicles in the context of their military service. This change aligns with broader efforts to support military families and acknowledge their contributions by alleviating some of the financial burdens they might face during relocation.
Summary
Senate Bill 184 aims to provide a tax exemption from the motor vehicle use tax for certain current or former military personnel. The bill proposes that vehicles purchased outside of Texas and brought into the state by members of the armed forces, who purchased them while on active duty, should be exempt from this tax. This legislation recognizes the unique circumstances faced by military personnel, who may purchase vehicles while stationed in different states and then relocate to Texas.
Contention
While the bill's purpose is generally seen as supportive of military personnel, it may raise questions regarding the implications for state revenues. Critics could potentially argue about the long-term fiscal impacts of granting tax exemptions, particularly in times of budget constraints. However, supporters might counter that the economic benefits of attracting military families and supporting their transitions to Texas justify the exemption.
Relating to the denial of the registration of a motor vehicle based on certain information provided by a county to the Texas Department of Motor Vehicles.