88R7292 RDS-F
By: Schwertner S.B. No. 1122
A BILL TO BE ENTITLED
AN ACT
relating to the exclusion of certain medical services performed to
determine an appropriate level of workers' compensation benefits
from sales and use taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 151.0039(b), Tax Code, is amended to
read as follows:
(b) "Insurance service" does not include:
(1) insurance coverage for which a premium is paid or
commissions paid to insurance agents for the sale of insurance or
annuities;
(2) a service performed on behalf of an insured by a
person licensed under Chapter 4102, Insurance Code;
(3) a service performed by a certified public
accountancy firm, if less than one percent of the firm's total
revenue in the prior calendar year is from services in this state
that would otherwise constitute insurance service under Subsection
(a);
(4) a service performed on behalf of a certified
public accountancy firm by an owner of the firm or a member of the
firm's affiliated group, if less than one percent of the owner's or
member's total revenue in the prior calendar year is from services
in this state that would otherwise constitute insurance service
under Subsection (a); [or]
(5) a medical or dental billing service performed
before the original submission of:
(A) a medical or dental insurance claim related
to health or dental coverage; or
(B) a claim related to health or dental coverage
made to a medical assistance program funded by the federal
government, a state government, or both; or
(6) a medical service performed to determine the
appropriate level of benefits under Subtitle A, Title 5, Labor
Code, including:
(A) a medical examination ordered by the
commissioner of workers' compensation under Section 408.004 or
408.0041, Labor Code;
(B) a medical examination requested by an
insurance carrier or employee under Section 408.0041, Labor Code;
(C) a medical examination or test:
(i) performed by a health care provider
under a referral by another health care provider; and
(ii) related to a medical examination
described by Paragraph (A) or (B); or
(D) a medical examination to determine an
employee's:
(i) impairment rating; or
(ii) maximum medical improvement.
SECTION 2. Section 151.0039(c), Tax Code, is amended by
adding Subdivision (2-a) to read as follows:
(2-a) "Impairment rating" and "maximum medical
improvement" have the meanings assigned by Section 401.011, Labor
Code.
SECTION 3. The changes in law made by this Act do not affect
tax liability accruing before the effective date of this Act. That
liability continues in effect as if this Act had not been enacted,
and the former law is continued in effect for the collection of
taxes due and for civil and criminal enforcement of the liability
for those taxes.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2023.