| 1 | 1 | | 88R15802 CJD-F |
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| 2 | 2 | | By: Garcia H.B. No. 3298 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to an exemption from sales and use taxes for educational |
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| 8 | 8 | | materials purchased by a teacher. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Effective January 1, 2024, Subchapter H, Chapter |
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| 11 | 11 | | 151, Tax Code, is amended by adding Section 151.3272 to read as |
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| 12 | 12 | | follows: |
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| 13 | 13 | | Sec. 151.3272. EDUCATIONAL MATERIALS PURCHASED BY TEACHER. |
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| 14 | 14 | | (a) In this section, "educational material" means a taxable item |
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| 15 | 15 | | used for an educational purpose. The term includes: |
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| 16 | 16 | | (1) if used primarily for an educational purpose: |
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| 17 | 17 | | (A) a school supply as that term is defined by |
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| 18 | 18 | | Section 151.327; or |
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| 19 | 19 | | (B) a book or other similar learning tool; |
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| 20 | 20 | | (2) if used exclusively for an educational purpose or |
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| 21 | 21 | | a purpose related to employment as a teacher, an item of technology; |
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| 22 | 22 | | and |
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| 23 | 23 | | (3) if used exclusively for an educational purpose in |
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| 24 | 24 | | the classroom, any other item used as a learning tool. |
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| 25 | 25 | | (b) The sale or storage, use, or other consumption of an |
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| 26 | 26 | | educational material is exempted from the taxes imposed by this |
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| 27 | 27 | | chapter if: |
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| 28 | 28 | | (1) the educational material is purchased by a teacher |
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| 29 | 29 | | employed at a public school or open-enrollment charter school; and |
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| 30 | 30 | | (2) the teacher completes, signs, and presents at the |
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| 31 | 31 | | time of purchase the exemption certificate form described by |
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| 32 | 32 | | Subsection (c). |
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| 33 | 33 | | (c) The comptroller, in coordination with the Texas |
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| 34 | 34 | | Education Agency, shall develop an exemption certificate form that |
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| 35 | 35 | | a teacher must complete and use to claim the exemption provided by |
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| 36 | 36 | | Subsection (b). The comptroller and the Texas Education Agency |
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| 37 | 37 | | shall make the form available on the comptroller's and agency's |
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| 38 | 38 | | Internet websites. The exemption certificate must include a |
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| 39 | 39 | | requirement that a teacher completing the form describe the |
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| 40 | 40 | | educational purpose of an educational material described by |
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| 41 | 41 | | Subsection (a)(3) for which the teacher seeks an exemption. |
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| 42 | 42 | | (d) A teacher may purchase not more than $500 of educational |
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| 43 | 43 | | materials described by Subsection (a)(3) in a calendar year using |
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| 44 | 44 | | the exemption under Subsection (b). |
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| 45 | 45 | | SECTION 2. Not later than December 31, 2023, the |
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| 46 | 46 | | comptroller of public accounts and the Texas Education Agency shall |
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| 47 | 47 | | post on the comptroller's and agency's Internet websites the |
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| 48 | 48 | | exemption certificate form as required by Section 151.3272, Tax |
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| 49 | 49 | | Code, as added by this Act. |
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| 50 | 50 | | SECTION 3. The changes in law made by this Act do not affect |
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| 51 | 51 | | tax liability accruing before the effective date of this Act. That |
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| 52 | 52 | | liability continues in effect as if this Act had not been enacted, |
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| 53 | 53 | | and the former law is continued in effect for the collection of |
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| 54 | 54 | | taxes due and for civil and criminal enforcement of the liability |
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| 55 | 55 | | for those taxes. |
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| 56 | 56 | | SECTION 4. Except as otherwise provided by this Act, this |
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| 57 | 57 | | Act takes effect September 1, 2023. |
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