| 1 | 1 | | 88S31151 CJD-D |
|---|
| 2 | 2 | | By: Thompson of Brazoria H.B. No. 201 |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | A BILL TO BE ENTITLED |
|---|
| 6 | 6 | | AN ACT |
|---|
| 7 | 7 | | relating to an exemption for policies issued to school districts |
|---|
| 8 | 8 | | and open-enrollment charter schools from insurance premium and |
|---|
| 9 | 9 | | maintenance taxes. |
|---|
| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 11 | 11 | | SECTION 1. Chapter 203, Insurance Code, is amended by |
|---|
| 12 | 12 | | adding Section 203.003 to read as follows: |
|---|
| 13 | 13 | | Sec. 203.003. EXEMPTION FROM PREMIUM AND MAINTENANCE TAXES |
|---|
| 14 | 14 | | FOR PUBLIC SCHOOL POLICIES. (a) Notwithstanding any other law, an |
|---|
| 15 | 15 | | insurer is not liable for premium or maintenance taxes on a policy |
|---|
| 16 | 16 | | issued to a school district or open-enrollment charter school. |
|---|
| 17 | 17 | | (b) To qualify for an exemption under this section, the |
|---|
| 18 | 18 | | insurer must keep on file a form, signed and dated by an authorized |
|---|
| 19 | 19 | | representative of the school district or open-enrollment charter |
|---|
| 20 | 20 | | school, affirming that the policy is for a school district or |
|---|
| 21 | 21 | | open-enrollment charter school that is eligible to receive funding |
|---|
| 22 | 22 | | from the Foundation School Program under Chapter 48, Education |
|---|
| 23 | 23 | | Code. |
|---|
| 24 | 24 | | (c) The comptroller and the commissioner may adopt rules |
|---|
| 25 | 25 | | necessary to implement this section. |
|---|
| 26 | 26 | | SECTION 2. Section 281.006, Insurance Code, is amended by |
|---|
| 27 | 27 | | adding Subsection (a) to read as follows: |
|---|
| 28 | 28 | | (a) In determining an insurer's taxes or other charges under |
|---|
| 29 | 29 | | this subchapter, the comptroller shall consider the insurer to be |
|---|
| 30 | 30 | | liable for taxes for which an exemption is provided under Section |
|---|
| 31 | 31 | | 203.003 as if that section did not exist. |
|---|
| 32 | 32 | | SECTION 3. The changes in law made by this Act apply only to |
|---|
| 33 | 33 | | a tax report originally due on or after the effective date of this |
|---|
| 34 | 34 | | Act. |
|---|
| 35 | 35 | | SECTION 4. This Act takes effect on the 91st day after the |
|---|
| 36 | 36 | | last day of the legislative session. |
|---|