87R12407 SMT-D
By: Talarico H.B. No. 4453
A BILL TO BE ENTITLED
AN ACT
relating to imposing a state estate tax and using the revenue
generated by the tax to provide payments to parents.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Subtitle J, Title 2, Tax Code, is
amended to read as follows:
SUBTITLE J. ESTATE [INHERITANCE] TAX
SECTION 2. Subtitle J, Title 2, Tax Code, is amended by
adding Chapter 212 to read as follows:
CHAPTER 212. ESTATE TAX
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 212.0001. DEFINITIONS. In this chapter:
(1) "Internal Revenue Code" means the Internal Revenue
Code of 1986 in effect on January 1, 2021, not including any changes
made by federal law after that date, but including any regulations
adopted under that code applicable to the tax year to which the
provisions of the code in effect on that date applied.
(2) "Taxable estate" has the meaning assigned by
Section 2051, Internal Revenue Code, except that no deduction from
the value of the gross estate is allowed for the amount of tax
imposed by this chapter.
SUBCHAPTER B. DETERMINATION OF TAX DUE
Sec. 212.0051. TAX ON DECEDENT'S ESTATE. (a) A tax is
imposed on the estate of each person who dies while a resident of
this state.
(b) The rate of the tax is five percent of the value of the
taxable estate.
SUBCHAPTER C. COLLECTION AND PAYMENT OF TAX; ENFORCEMENT
Sec. 212.0101. ADMINISTRATION. The comptroller shall adopt
rules to implement, administer, and enforce the tax under this
chapter.
Sec. 212.0102. PENALTIES. The comptroller may impose
penalties to enforce this chapter.
SUBCHAPTER C. DISPOSITION OF REVENUE
Sec. 212.0151. PAYMENTS TO PARENTS. (a) The amount of the
proceeds from the collection of the tax imposed by this chapter
shall be deposited to the credit of an account in the general
revenue fund administered by the comptroller. Money in the account
may be appropriated to the comptroller only for the purpose of
providing payments under this section.
(b) A person who gives birth to or adopts a child in this
state is entitled to a one-time payment in an amount set by the
comptroller if money is made available to the comptroller for that
purpose. The comptroller shall set the amount of the initial
payment authorized under this section in the amount of $1,000.
(c) On January 1 of each year, the comptroller shall
increase the amount of the payment authorized under this section by
an amount equal to the amount of the payment authorized under this
section in the preceding year multiplied by the percentage
increase, if any, in the Consumer Price Index for Urban Wage Earners
and Clerical Workers (CPI-W) published by the United States Bureau
of Labor Statistics or its successor in function during the
preceding calendar year.
(d) The comptroller shall adopt rules for distributing the
payments described by this section.
SECTION 3. Chapter 212, Tax Code, as added by this Act,
applies only to the estate of a person who dies while a resident of
this state on or after the effective date of this Act.
SECTION 4. This Act takes effect January 1, 2022.