Texas 2023 - 88th Regular

Texas House Bill HB1608 Compare Versions

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1	1	88R3211 DRS-F
2	2	By: Shine H.B. No. 1608
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the electronic payment of ad valorem taxes; authorizing
8	8	a fee.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 31.06, Tax Code, is amended by amending
11	11	Subsections (a) and (c) and adding Subsection (a-1) to read as
12	12	follows:
13	13	(a) In this section, "electronic payment" has the meaning
14	14	assigned by Section 31.062.
15	15	(a-1) Except as provided by Section 31.061, taxes are
16	16	payable only as provided by this section. Except as provided by
17	17	Subsection (e), a collector shall accept United States currency or
18	18	a check or money order in payment of taxes and shall accept an
19	19	electronic payment of taxes made in the manner provided by Section
20	20	31.062 [payment by credit card or electronic funds transfer].
21	21	(c) If a tax is paid by an electronic payment [credit card],
22	22	the collector may collect a fee for processing the payment. The
23	23	collector shall set the fee in an amount that is reasonably related
24	24	to the expense incurred by the collector or taxing unit in
25	25	processing the payment [by credit card], not to exceed five percent
26	26	of the amount of taxes and any penalties or interest being paid.
27	27	The fee is in addition to the amount of taxes, penalties, or
28	28	interest.
29	29	SECTION 2. Chapter 31, Tax Code, is amended by adding
30	30	Section 31.062 to read as follows:
31	31	Sec. 31.062. ELECTRONIC TAX PAYMENTS. (a) In this section,
32	32	"electronic payment" means a payment made by credit card, debit
33	33	card, electronic check, electronic funds transfer, wire transfer,
34	34	or automated clearinghouse withdrawal.
35	35	(b) Notwithstanding any other provision of this title, a
36	36	collector shall accept an electronic payment of taxes from a
37	37	property owner or a person designated by a property owner under
38	38	Section 1.111(f) if the property owner or person elects to make
39	39	electronic payments under Subsection (c) of this section.
40	40	(c) A collector shall establish a procedure that allows a
41	41	property owner or a person designated by a property owner under
42	42	Section 1.111(f) to make the election described by Subsection (b)
43	43	of this section. The procedure must specify the manner by which the
44	44	property owner or the person designated by the owner will make
45	45	electronic payments of taxes and the method that will be used to
46	46	confirm the receipt by the collector of an electronic payment.
47	47	(d) An election under Subsection (c) of this section by a
48	48	property owner or a person designated by a property owner under
49	49	Section 1.111(f) remains in effect until rescinded in writing by
50	50	the property owner or person designated by the owner.
51	51	(e) A collector may require a property owner or a person
52	52	designated by a property owner under Section 1.111(f) who elects to
53	53	make electronic payments of taxes to provide:
54	54	(1) an e-mail address;
55	55	(2) a financial account number; and
56	56	(3) any other information the collector determines is
57	57	necessary to properly receive, process, and confirm the receipt of
58	58	an electronic payment made by the property owner or the person
59	59	designated by the owner.
60	60	(f) A collector shall prominently display the information
61	61	necessary to make an electronic payment of taxes to the collector on
62	62	the collector's Internet website if the collector maintains an
63	63	Internet website.
64	64	(g) An electronic payment of taxes by a property owner or a
65	65	person designated by a property owner under Section 1.111(f) to a
66	66	collector is timely if the payment is:
67	67	(1) addressed to the correct delivery portal or
68	68	electronic delivery system; and
69	69	(2) sent or uploaded on or before the date on which the
70	70	payment is due.
71	71	(h) A collector shall notify a property owner or a person
72	72	designated by a property owner under Section 1.111(f) who elects to
73	73	make electronic payments of taxes under this section and who has not
74	74	rescinded the election of a change in the procedure for making an
75	75	electronic payment to the collector, including a change relating to
76	76	the collector's e-mail address or the collector's routing or
77	77	account number to which a payment must be made, not later than the
78	78	earlier of:
79	79	(1) the 45th day after the date the change is made; or
80	80	(2) the 60th day before the date the taxes are due.
81	81	(i) If a collector fails to provide timely notice of a
82	82	change in procedure under Subsection (h) of this section to a
83	83	property owner or a person designated by a property owner under
84	84	Section 1.111(f), an electronic payment of taxes made to the
85	85	collector by the property owner or person designated by the owner is
86	86	considered to be timely delivered until the notice is received.
87	87	(j) An electronic signature that is included on or with an
88	88	electronic payment of taxes made under this section is considered
89	89	to be a digital signature for purposes of Section 2054.060,
90	90	Government Code, and that section applies to the electronic
91	91	signature.
92	92	(k) A collector shall immediately confirm the receipt of an
93	93	electronic payment of taxes made to the collector by a property
94	94	owner or a person designated by a property owner under Section
95	95	1.111(f).
96	96	(l) The comptroller shall adopt rules for the
97	97	implementation of this section.
98	98	SECTION 3. Section 33.011(h), Tax Code, is amended to read
99	99	as follows:
100	100	(h) The governing body of a taxing unit shall waive
101	101	penalties and interest on a delinquent tax if:
102	102	(1) the taxpayer has elected to make electronic
103	103	payments of taxes under Section 31.062 [tax is payable by
104	104	electronic funds transfer under an agreement entered into under
105	105	Section 31.06(a)]; and
106	106	(2) the taxpayer submits evidence sufficient to show
107	107	that:
108	108	(A) the taxpayer attempted to pay the tax by
109	109	electronic payment [funds transfer] in the proper manner before the
110	110	delinquency date;
111	111	(B) the taxpayer's failure to pay the tax before
112	112	the delinquency date was caused by an error in the transmission of
113	113	the payment [funds]; and
114	114	(C) the tax was properly paid by electronic
115	115	payment [funds transfer] or otherwise not later than the 21st day
116	116	after the date the taxpayer knew or should have known of the
117	117	delinquency.
118	118	SECTION 4. The changes in law made by this Act apply only to
119	119	a tax year that begins on or after the effective date of this Act.
120	120	SECTION 5. (a) The officer or employee responsible for
121	121	collecting property taxes for a taxing unit located wholly or
122	122	primarily in a county with a population of 120,000 or more shall
123	123	comply with Section 31.062, Tax Code, as added by this Act,
124	124	beginning with the 2024 tax year.
125	125	(b) The officer or employee responsible for collecting
126	126	property taxes for a taxing unit located wholly or primarily in a
127	127	county with a population of less than 120,000 shall comply with
128	128	Section 31.062, Tax Code, as added by this Act, beginning with the
129	129	2025 tax year.
130	130	SECTION 6. This Act takes effect January 1, 2024.