| 1 | 1 | | 87R1225 BEF-D |
|---|
| 2 | 2 | | By: King of Hemphill H.B. No. 433 |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | A BILL TO BE ENTITLED |
|---|
| 6 | 6 | | AN ACT |
|---|
| 7 | 7 | | relating to imposing a tax on the generation of electricity by |
|---|
| 8 | 8 | | certain electric generators; providing penalties; creating a |
|---|
| 9 | 9 | | criminal offense. |
|---|
| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 11 | 11 | | SECTION 1. Subtitle E, Title 2, Tax Code, is amended by |
|---|
| 12 | 12 | | adding Chapter 165 to read as follows: |
|---|
| 13 | 13 | | CHAPTER 165. TAX ON GENERATION OF ELECTRICITY |
|---|
| 14 | 14 | | SUBCHAPTER A. GENERAL PROVISIONS |
|---|
| 15 | 15 | | Sec. 165.001. DEFINITIONS. In this chapter: |
|---|
| 16 | 16 | | (1) "Affiliated power generation company," "electric |
|---|
| 17 | 17 | | utility," and "exempt wholesale generator" have the meanings |
|---|
| 18 | 18 | | assigned by Section 31.002, Utilities Code. |
|---|
| 19 | 19 | | (2) "Electric cooperative" has the meaning assigned by |
|---|
| 20 | 20 | | Section 11.003, Utilities Code. |
|---|
| 21 | 21 | | (3) "Electric generator" includes: |
|---|
| 22 | 22 | | (A) an affiliated power generation company; |
|---|
| 23 | 23 | | (B) an electric utility or electric cooperative |
|---|
| 24 | 24 | | that owns or operates for compensation in this state equipment or |
|---|
| 25 | 25 | | facilities to generate electricity in this state; |
|---|
| 26 | 26 | | (C) an exempt wholesale generator; and |
|---|
| 27 | 27 | | (D) a power generation company. |
|---|
| 28 | 28 | | (4) "Power generation company" has the meaning |
|---|
| 29 | 29 | | assigned by Section 31.002, Utilities Code, except that the term |
|---|
| 30 | 30 | | does not include a distributed natural gas generation facility, as |
|---|
| 31 | 31 | | that term is defined by Section 31.002, Utilities Code. |
|---|
| 32 | 32 | | SUBCHAPTER B. IMPOSITION AND COLLECTION OF TAX |
|---|
| 33 | 33 | | Sec. 165.021. TAX IMPOSED. A tax is imposed on each |
|---|
| 34 | 34 | | electric generator in this state that generates electricity using |
|---|
| 35 | 35 | | an energy source other than natural gas. |
|---|
| 36 | 36 | | Sec. 165.022. RATE OF TAX. The rate of the tax imposed by |
|---|
| 37 | 37 | | this chapter is one cent for each kilowatt hour of electricity |
|---|
| 38 | 38 | | generated using an energy source other than natural gas. |
|---|
| 39 | 39 | | Sec. 165.023. PAYMENT OF TAX. On or before the 25th day of |
|---|
| 40 | 40 | | each month, each electric generator on whom a tax is imposed by this |
|---|
| 41 | 41 | | chapter shall send to the comptroller the amount of tax due under |
|---|
| 42 | 42 | | this chapter for the preceding month. |
|---|
| 43 | 43 | | Sec. 165.024. REPORTS. On or before the 25th day of each |
|---|
| 44 | 44 | | month, each electric generator on whom a tax is imposed by this |
|---|
| 45 | 45 | | chapter shall file with the comptroller a report stating: |
|---|
| 46 | 46 | | (1) the number of kilowatt hours of electricity |
|---|
| 47 | 47 | | generated during the preceding month using an energy source other |
|---|
| 48 | 48 | | than natural gas; and |
|---|
| 49 | 49 | | (2) any other information required by the comptroller. |
|---|
| 50 | 50 | | Sec. 165.025. RECORDS. A person on whom a tax is imposed by |
|---|
| 51 | 51 | | this chapter shall keep a complete record of: |
|---|
| 52 | 52 | | (1) the number of kilowatt hours of electricity |
|---|
| 53 | 53 | | generated during the preceding month using an energy source other |
|---|
| 54 | 54 | | than natural gas; and |
|---|
| 55 | 55 | | (2) any other information required by the comptroller. |
|---|
| 56 | 56 | | SUBCHAPTER C. PENALTIES AND OFFENSES |
|---|
| 57 | 57 | | Sec. 165.051. INTEREST ON DELINQUENT TAX. A tax imposed by |
|---|
| 58 | 58 | | this chapter that is delinquent draws interest as provided by |
|---|
| 59 | 59 | | Section 111.060. |
|---|
| 60 | 60 | | Sec. 165.052. PENALTY. (a) An electric generator on whom a |
|---|
| 61 | 61 | | tax is imposed by this chapter and who fails to file a report as |
|---|
| 62 | 62 | | required by this chapter or does not pay the tax when it is due |
|---|
| 63 | 63 | | forfeits to the state a penalty of 12 percent of the amount of tax |
|---|
| 64 | 64 | | that is delinquent. |
|---|
| 65 | 65 | | (b) If a report required by this chapter is not filed or a |
|---|
| 66 | 66 | | tax imposed by this chapter is not paid on or before the 30th day |
|---|
| 67 | 67 | | after the date it is due, the electric generator on whom the tax is |
|---|
| 68 | 68 | | imposed forfeits to the state a penalty of an additional 12 percent |
|---|
| 69 | 69 | | of the amount of tax that is delinquent. |
|---|
| 70 | 70 | | (c) The minimum penalty under this section is $1. |
|---|
| 71 | 71 | | Sec. 165.053. CRIMINAL PENALTY. (a) A person who violates |
|---|
| 72 | 72 | | this chapter commits an offense. |
|---|
| 73 | 73 | | (b) An offense under this section is a Class C misdemeanor. |
|---|
| 74 | 74 | | SUBCHAPTER D. ALLOCATION AND USE |
|---|
| 75 | 75 | | Sec. 165.071. ALLOCATION OF TAX REVENUE. The revenue from |
|---|
| 76 | 76 | | the tax imposed by this chapter shall be deposited to the credit of |
|---|
| 77 | 77 | | the foundation school fund. |
|---|
| 78 | 78 | | SECTION 2. This Act takes effect September 1, 2021. |
|---|