87R2581 BEF-D
By: Herrero H.B. No. 4032
A BILL TO BE ENTITLED
AN ACT
relating to the review by local governmental entities of certain
sales and use tax audit reports and audit working papers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 321.510(c), (d), (e), and (g), Tax
Code, are amended to read as follows:
(c) Subject to the criteria provided by this section, a
municipality or local governmental entity may request a review of
all available sales tax returns, [and] reports, audit reports, and
audit working papers in the comptroller's possession filed by not
more than five individual taxpayers doing business in the
municipality or local governmental entity that are included and
identified by the municipality or local governmental entity from
the information received from the comptroller under Section
321.3022 and that relate to a reallocation or refund in an amount
described by Subsection (b).
(d) The comptroller shall provide the returns, [and]
reports, audit reports, and audit working papers requested under
Subsection (c) for review regardless of whether the information [in
the returns or reports] is confidential under state law, including
Sections 111.006 and 151.027.
(e) The provision of confidential information to a
municipality or local governmental entity under this section does
not affect the confidential nature of the information in the
returns, [or] reports, audit reports, or audit working papers. A
municipality or local governmental entity shall use the information
only in a manner that maintains the confidential nature of the
information and may not disclose or release the information to the
public.
(g) Not earlier than the 30th day or later than the 90th day
after the date the comptroller receives a request under Subsection
(c), the comptroller shall provide the requested returns, [and]
reports, audit reports, and audit working papers to the requesting
municipality or local governmental entity for review.
SECTION 2. The changes in law made by this Act apply only to
a request under Section 321.510(f), Tax Code, submitted on or after
the effective date of this Act. A request submitted before that date
is governed by the law in effect when the request was submitted, and
the former law is continued in effect for that purpose.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2021.