Texas 2023 - 88th Regular

Texas House Bill HB1037

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to a sales and use tax exemption for taxable items used to assist persons with an intellectual, developmental, or cognitive disability.

Impact

The potential impact of HB 1037 on state laws includes a modification of the Tax Code to accommodate this new exemption. By exempting specific items used by individuals with disabilities from sales tax, the bill endeavors to increase accessibility and affordability of essential assistive technologies, thereby supporting the independence and quality of life for these individuals. This legislative change is anticipated to facilitate broader access to necessary resources for a population that often faces financial constraints due to their condition.

Summary

House Bill 1037 aims to provide a sales and use tax exemption for taxable items designed to assist individuals with intellectual, developmental, or cognitive disabilities in their daily activities. The bill stipulates that starting January 1, 2024, certain taxable items will be exempt from taxes if they qualify as assistive technologies or adaptive equipment that aid these individuals. The legislation outlines that the state comptroller will define which items are eligible and the process for claiming these exemptions, ensuring clarity and uniformity in implementation.

Sentiment

The sentiment around HB 1037 appears to be optimistic, particularly among advocates for individuals with disabilities and related service organizations who view the bill as a step forward in supporting this community. Proponents argue that the measures will alleviate financial burdens and allow greater access to important resources. However, challenges may arise regarding the implementation of the exemption criteria, specifically about how the comptroller defines qualifying items and handles public feedback during rule adoption.

Contention

Notable points of contention regarding HB 1037 may include the definitions of what constitutes assistive technology and the criteria for tax exemption. Some stakeholders may raise concerns about fairness in how different types of disabilities are represented and about the broader fiscal implications of reduced tax revenue from these exemptions. Moreover, the requirement for a public hearing before adopting rules could lead to debates among professionals in the field regarding the effectiveness and necessity of specific items included under this exemption.

Texas Constitutional Statutes Affected

Tax Code

  • Chapter 151. Limited Sales, Excise, And Use Tax
    • Section: 313

Companion Bills

No companion bills found.

Similar Bills

No similar bills found.