By: Turner H.B. No. 3487
A BILL TO BE ENTITLED
AN ACT
relating to certain expenditures by public institutions of higher
education and university systems that are eligible for certain tax
credits.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. (a) Section 171.9015(b), Tax Code, as effective
January 1, 2022, is amended to read as follows:
(b) Except as provided by Subsection (c), the depreciation
and tax-exempt use provisions of Section 47(c)(2), Internal Revenue
Code, do not apply to costs and expenses incurred by an entity
exempt from the tax imposed under this chapter by Section 171.063 of
this code or by an institution of higher education or university
system as defined by Section 61.003, Education Code, and those
costs and expenses are eligible costs and expenses if the other
provisions of Section 47(c)(2), Internal Revenue Code, are
satisfied.
(b) Effective January 1, 2031, Section 171.9015(b), Tax
Code, as effective January 1, 2022, is amended to read as follows:
(b) Except as provided by Subsection (c), the depreciation
and tax-exempt use provisions of Section 47(c)(2), Internal Revenue
Code, do not apply to costs and expenses incurred by an entity
exempt from the tax imposed under this chapter by Section 171.063,
and those costs and expenses are eligible costs and expenses if the
other provisions of Section 47(c)(2), Internal Revenue Code, are
satisfied.
SECTION 2. (a) Section 171.9015(b), Tax Code, as amended
by Section 1(a) of this Act, applies only to costs and expenses
incurred on or after the effective date of this Act.
(b) Section 171.9015(b), Tax Code, as amended by Section
1(b) of this Act, applies only to costs and expenses incurred on or
after January 1, 2031.
SECTION 3. This Act takes effect September 1, 2023.