LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION March 26, 2023 TO: Honorable Paul Bettencourt, Chair, Senate Committee on Local Government FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1439 by Springer (Relating to the ad valorem taxation of tangible personal property held or used for the production of income by related business entities.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend Chapter 11 of the Tax Code, relating to Taxable Property and Exemptions, to define the terms related business entity and "unified business enterprise" for purposes of identifying the owner of income-producing tangible personal property that is eligible for the exemption for income-producing tangible personal property having a value of less than $2,500.The bill would allow the chief appraiser to investigate a business entity to determine whether the entity is a related business entity and has aggregated tangible personal property.The bill would amend Chapter 22 of the Tax Code, relating to Renditions and other Reports, to require the physical address of a property on a rendition statement. It would further require a rendition statement of a related business entity to contain the information for each related business entity that composes the unified business enterprise of which the related business entity that is the subject of the rendition is a part.The bill would direct the Comptroller to include a check box on the prescribed form to indicate that a property owner is a related business entity. Local Government ImpactNo significant fiscal implication to units of local government is anticipated. Source Agencies: b > td > 304 Comptroller of Public Accounts LBB Staff: b > td > JMc, AF, SD, BRI
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION
March 26, 2023
TO: Honorable Paul Bettencourt, Chair, Senate Committee on Local Government FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1439 by Springer (Relating to the ad valorem taxation of tangible personal property held or used for the production of income by related business entities.), As Introduced
TO: Honorable Paul Bettencourt, Chair, Senate Committee on Local Government
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB1439 by Springer (Relating to the ad valorem taxation of tangible personal property held or used for the production of income by related business entities.), As Introduced
Honorable Paul Bettencourt, Chair, Senate Committee on Local Government
Honorable Paul Bettencourt, Chair, Senate Committee on Local Government
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
SB1439 by Springer (Relating to the ad valorem taxation of tangible personal property held or used for the production of income by related business entities.), As Introduced
SB1439 by Springer (Relating to the ad valorem taxation of tangible personal property held or used for the production of income by related business entities.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend Chapter 11 of the Tax Code, relating to Taxable Property and Exemptions, to define the terms related business entity and "unified business enterprise" for purposes of identifying the owner of income-producing tangible personal property that is eligible for the exemption for income-producing tangible personal property having a value of less than $2,500.The bill would allow the chief appraiser to investigate a business entity to determine whether the entity is a related business entity and has aggregated tangible personal property.The bill would amend Chapter 22 of the Tax Code, relating to Renditions and other Reports, to require the physical address of a property on a rendition statement. It would further require a rendition statement of a related business entity to contain the information for each related business entity that composes the unified business enterprise of which the related business entity that is the subject of the rendition is a part.The bill would direct the Comptroller to include a check box on the prescribed form to indicate that a property owner is a related business entity.
The bill would direct the Comptroller to include a check box on the prescribed form to indicate that a property owner is a related business entity.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: b > td > JMc, AF, SD, BRI
JMc, AF, SD, BRI