Texas 2023 - 88th Regular

Texas House Bill HB5285 Compare Versions

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1	1	By: Guillen H.B. No. 5285
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the banning of school district ad valorem taxes for
7	7	certain residential properties and an increase in the rates of
8	8	certain state taxes to cover the increased cost to the state of
9	9	providing public education; increasing the rates of taxes.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Sec. 45.002, Education Code, is amended to read
12	12	as follows.
13	13	Sec. 45.002. (a) MAINTENANCE TAXES. The governing board
14	14	of an independent school district, including the city council or
15	15	commission that has jurisdiction over a municipally controlled
16	16	independent school district, the governing board of a rural high
17	17	school district, and the commissioners court of a county, on behalf
18	18	of each common school district under its jurisdiction, may levy,
19	19	assess, and collect annual ad valorem taxes for the further
20	20	maintenance of public schools in the district, subject to Section
21	21	45.003.
22	22	(b) This section may not be applied to property defined by
23	23	Sec. 11.13(j)(1), Tax Code.
24	24	SECTION 2. Section 151.051(b), Tax Code, is amended to read
25	25	as follows:
26	26	(b) The sales tax rate is 7.45 [6-1/4] percent of the sales
27	27	price of the taxable item sold.
28	28	SECTION 3. Section 151.801, Tax Code, is amended by
29	29	amending Subsection (a) and adding Subsection (b-1) to read as
30	30	follows:
31	31	(a) Except for [the] amounts otherwise allocated under this
32	32	section [Subsections (b), (c), (c-2), (c-3), and (f)], all proceeds
33	33	from the collection of the taxes imposed by this chapter shall be
34	34	deposited to the credit of the general revenue fund.
35	35	(b-1) Notwithstanding any other provision of this section,
36	36	an amount of revenue under this chapter equal to the proceeds,
37	37	other than the proceeds allocated under Subsection (b) or (c),
38	38	derived from the collection of taxes imposed by this chapter
39	39	attributable to the portion of the tax rate in excess of 6.25
40	40	percent of the sales price of the taxable item sold shall be
41	41	deposited to the credit of the foundation school fund.
42	42	SECTION 4. Section 152.021(b), Tax Code, is amended to read
43	43	as follows:
44	44	(b) The tax rate is 9.45 [6-1/4] percent of the total
45	45	consideration.
46	46	SECTION 5. Section 152.022(b), Tax Code, is amended to read
47	47	as follows:
48	48	(b) The tax rate is 9.45 [6-1/4] percent of the total
49	49	consideration.
50	50	SECTION 6. Section 152.023(b-1), Tax Code, is amended to
51	51	read as follows:
52	52	(b-1) The tax on a motor vehicle eligible to be issued
53	53	exhibition vehicle specialty license plates under Section 504.502,
54	54	Transportation Code, is equal to the lesser of $90 or 9.45 [6.25]
55	55	percent of the total consideration.
56	56	SECTION 7. Section 152.026(b), Tax Code, is amended to read
57	57	as follows:
58	58	(b) The tax rate is 10 percent of the gross rental receipts
59	59	from the rental of a rented motor vehicle for 30 days or less and
60	60	9.45 [6-1/4] percent of the gross rental receipts from the rental of
61	61	a rented motor vehicle for longer than 30 days.
62	62	SECTION 8. Section 152.028(b), Tax Code, is amended to read
63	63	as follows:
64	64	(b) The tax rate is 9.45 [6-1/4] percent of the total
65	65	consideration.
66	66	SECTION 9. Section 152.122, Tax Code, is amended to read as
67	67	follows:
68	68	Sec. 152.122. ALLOCATION OF TAX. (a) The comptroller shall
69	69	deposit the funds received under Section 152.121 [of this code as
70	70	follows:
71	71	[(1) 1/4 to the credit of the foundation school fund; and
72	72	[(2) the remaining funds] to the credit of the general
73	73	revenue fund.
74	74	(b) Notwithstanding Subsection (a), the comptroller shall
75	75	deposit to the credit of the foundation school fund an amount equal
76	76	to the amount of money that is:
77	77	(1) received by the comptroller under Sections 152.043,
78	78	152.044, 152.045, 152.046, 152.047, and 152.121;
79	79	(2) derived from the taxes imposed under Sections 152.021,
80	80	152.022, 152.023, 152.026, and 152.028; and
81	81	(3) attributable to an increase in the rate of a tax
82	82	described by Subdivision (2) effective January 1, 2024.
83	83	SECTION 10. The changes in law made by this Act to Sections
84	84	11.13 and 11.26, Tax Code, apply only to an ad valorem tax year that
85	85	begins on or after January 1, 2024.
86	86	SECTION 11. In addition to the substantive changes made by
87	87	this Act, this Act conforms Section 152.122, Tax Code, to the method
88	88	of allocating motor vehicle sales and use taxes in effect before the
89	89	effective date of this Act. Section 11.04, Chapter 4 (S.B. 3), Acts
90	90	of the 72nd Legislature, 1st Called Session, 1991, enacted former
91	91	Section 403.094(h), Government Code, which abolished certain state
92	92	fund dedications and resulted in the abolition of the allocation to
93	93	the foundation school fund effective August 31, 1995.
94	94	SECTION 12. The changes in law made by this Act do not
95	95	affect tax liability accruing before the effective date of this
96	96	Act. That liability continues in effect as if this Act had not been
97	97	enacted, and the former law is continued in effect for the
98	98	collection of taxes due and for civil and criminal enforcement of
99	99	the liability for those taxes.
100	100	SECTION 13. This Act takes effect January 1, 2024.