Texas 2025 - 89th Regular

Texas House Bill HB4379 Compare Versions

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1	1		By: Turner H.B. No. 4379
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4	6		A BILL TO BE ENTITLED
5	7		AN ACT
6	8		relating to the application, collection, remittance, and
7	9		administration of the gross rental receipts tax on the renting of
8	10		shared motor vehicles through peer-to-peer car sharing programs;
9	11		imposing a penalty.
10	12		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	13		SECTION 1. Section 152.001(8), Tax Code, is amended to read
12	14		as follows:
13	15		(8) "Gross rental receipts" means value received or
14	16		promised as consideration to the owner of a motor vehicle or to a
15	17		peer-to-peer car sharing program provider for rental of the
16	18		vehicle, but does not include:
17	19		(A) separately stated charges for insurance;
18	20		(B) charges for damages to the motor vehicle
19	21		occurring during the rental agreement period;
20	22		(C) separately stated charges for motor fuel sold
21	23		by the owner of the motor vehicle; or
22	24		(D) discounts.
23	25		SECTION 2. Subchapter A, Chapter 152, Tax Code, is amended
24	26		by adding Section 152.0012 to read as follows:
25	27		Sec. 152.0012. PEER-TO-PEER CAR SHARING DEFINITIONS. In
26	28		this chapter:
27	29		(1) "Peer-to-peer car sharing program" means a
28	30		business platform that connects owners of motor vehicles with
29	31		drivers to enable vehicle sharing for financial consideration. The
30	32		term does not include a rental company as defined by Section 91.001,
31	33		Business & Commerce Code.
32	34		(2) "Peer-to-peer car sharing program provider" means
33	35		a person that owns or operates a peer-to-peer car sharing program.
34	36		The term does not include a rental company as defined by Section
35	37		91.001, Business & Commerce Code.
36	38		(3) "Shared vehicle" means a motor vehicle that is
37	39		available for sharing through a peer-to-peer car sharing program.
38	40		The term does not include:
39	41		(A) a private passenger vehicle rented by a
40	42		rental company under the terms of a rental agreement as those terms
41	43		are defined by Section 91.001, Business & Commerce Code; or
42	44		(B) a motor vehicle owned by a member of the
43	45		peer-to-peer car sharing program provider's affiliated group, as
44	46		defined by Section 171.0001(1).
45	47		SECTION 3. Section 152.026, Tax Code, is amended by
46	48		amending Subsection (a) and adding Subsection (e) to read as
47	49		follows:
48	50		(a) Except as provided by Subsection (e), a [A] tax is
49	51		imposed on the gross rental receipts from the rental of a rented
50	52		motor vehicle.
51	53		(e) The tax imposed by this section is only due on the gross
52	54		rental receipts from the rental of a shared vehicle through a
53	55		peer-to-peer car sharing program if the vehicle owner registered
54	56		the shared vehicle as a rental vehicle under Section 152.061 of this
55	57		code in lieu of paying the motor vehicle sales or use tax imposed by
56	58		Sections 152.021 and 152.022 of this code.
57	59		SECTION 4. Section 152.045, Tax Code, is amended to read as
58	60		follows:
59	61		Sec. 152.045. COLLECTION OF TAX ON GROSS RENTAL RECEIPTS.
60	62		(a) Except as otherwise provided by this section or another
61	63		provision of [inconsistent with this chapter and rules adopted
62	64		under] this chapter, an owner of a motor vehicle subject to the tax
63	65		on gross rental receipts shall collect, report, and pay the tax to
64	66		the comptroller in the same manner as the tax under Chapter 151
65	67		[Limited Sales, Excise and Use Tax] is collected, reported, and
66	68		paid by a retailer [retailers] under that chapter [Chapter 151 of
67	69		this code].
68	70		(a-1) If the motor vehicle is a shared vehicle rented
69	71		through a peer-to-peer car sharing program, the peer-to-peer car
70	72		sharing program provider shall collect, report, and pay the tax on
71	73		gross rental receipts to the comptroller in the manner prescribed
72	74		by Subsection (a).
73	75		(b) The owner of a motor vehicle subject to the tax on gross
74	76		rental receipts or, if the motor vehicle is a shared vehicle rented
75	77		through a peer-to-peer car sharing program, the peer-to-peer car
76	78		sharing program provider shall add the tax to the rental charge, and
77	79		when added, the tax is:
78	80		(1) a part of the rental charge;
79	81		(2) a debt owed to the motor vehicle owner, or the
80	82		peer-to-peer car sharing program provider, as applicable, by the
81	83		person renting the vehicle; and
82	84		(3) recoverable at law in the same manner as the rental
83	85		charge.
84	86		(c) The comptroller may proceed against a person renting a
85	87		motor vehicle, or a peer-to-peer car sharing program provider, as
86	88		applicable, for any unpaid gross rental receipts tax.
87	89		(d) In addition to any other penalty provided by law, the
88	90		owner of a motor vehicle subject to the tax on gross rental receipts
89	91		who is required to file a report as provided by this chapter and who
90	92		fails to timely file the report shall pay a penalty of $50. If the
91	93		motor vehicle is a shared vehicle rented through a peer-to-peer car
92	94		sharing program and the peer-to-peer car sharing program provider
93	95		is required to file a report under this chapter but fails to timely
94	96		file the report, the peer-to-peer car sharing program provider
95	97		shall pay a penalty of $50. The penalty provided by this subsection
96	98		is assessed without regard to whether the taxpayer subsequently
97	99		files the report or whether any taxes were due from the taxpayer for
98	100		the reporting period under the required report.
99	101		(e) A peer-to-peer car sharing program provider is not
100	102		liable for failure to collect, report, and pay any tax due on the
101	103		gross rental receipts from the rental of a shared vehicle through
102	104		the peer-to-peer car sharing program if the peer-to-peer car
103	105		sharing program provider demonstrates that the failure resulted
104	106		from the peer-to-peer car sharing program provider's good faith
105	107		reliance on incorrect or insufficient information provided by the
106	108		vehicle owner.
107	109		SECTION 5. Section 152.046(b), Tax Code, is amended to read
108	110		as follows:
109	111		(b) An owner of a motor vehicle on which the motor vehicle
110	112		sales or use tax has been paid who subsequently uses the vehicle for
111	113		rental shall collect the gross rental receipts tax imposed by this
112	114		chapter from the person renting the vehicle. The owner may credit an
113	115		amount equal to the motor vehicle sales or use tax paid by the owner
114	116		to the comptroller against the amount of gross rental receipts due.
115	117		This credit is not transferable and cannot be applied against tax
116	118		due and payable from the rental of another vehicle belonging to the
117	119		same owner. This subsection does not apply to shared vehicles.
118	120		SECTION 6. Section 152.048(b), Tax Code, is amended to read
119	121		as follows:
120	122		(b) The presumption provided by Subsection (a) does not
121	123		apply to receipts:
122	124		(1) on which a tax imposed under other law is computed
123	125		and paid to the comptroller; [or]
124	126		(2) for which a properly completed resale or exemption
125	127		certificate is accepted by the seller; or
126	128		(3) from the rental of a shared vehicle through a
127	129		peer-to-peer car sharing program.
128	130		SECTION 7. Section 152.063, Tax Code, is amended by
129	131		amending Subsection (b) and adding Subsection (b-1) to read as
130	132		follows:
131	133		(b) The owner of a motor vehicle used for rental purposes
132	134		shall keep for at least four years after the purchase of the [a]
133	135		motor vehicle records and supporting documents containing [the
134	136		following] information on the amount of:
135	137		(1) total consideration for the motor vehicle;
136	138		(2) motor vehicle sales or use tax paid on the motor
137	139		vehicle;
138	140		(3) gross rental receipts received by the owner or
139	141		peer-to-peer car sharing program provider, as applicable, from the
140	142		rental of the motor vehicle; and
141	143		(4) gross rental receipts tax paid to the comptroller
142	144		by the owner or peer-to-peer car sharing program provider, as
143	145		applicable, on each motor vehicle used for rental purposes by the
144	146		owner.
145	147		(b-1) If a motor vehicle is a shared vehicle rented through
146	148		a peer-to-peer car sharing program, the peer-to-peer car sharing
147	149		program provider shall keep for at least four years supporting
148	150		documents containing information listed in Subsection (b)(3) and
149	151		(4).
150	152		SECTION 8. Section 152.065, Tax Code, is amended to read as
151	153		follows:
152	154		Sec. 152.065. REQUIRED PERMITS. A motor vehicle owner or a
153	155		peer-to-peer car sharing program provider required to collect,
154	156		report, and pay a tax on gross rental receipts imposed by this
155	157		chapter and a seller required to collect, report, and pay a tax on a
156	158		seller-financed sale shall register as a retailer with the
157	159		comptroller in the same manner as is required of a retailer under
158	160		Subchapter F, Chapter 151.
159	161		SECTION 9. Subchapter D, Chapter 152, Tax Code, is amended
160	162		by adding Section 152.070 to read as follows:
161	163		Sec. 152.070. PEER-TO-PEER CAR SHARING PROGRAM PROVIDER'S
162	164		REPORT. A peer-to-peer car sharing program provider shall send to a
163	165		vehicle owner a report each month that shows the amount of the gross
164	166		rental receipts tax collected, reported, and remitted for each
165	167		shared motor vehicle that the vehicle owner owns and that is rented
166	168		through the peer-to-peer car sharing program. The peer-to-peer car
167	169		sharing program provider is not required to send the report to a
168	170		vehicle owner of a shared vehicle during a month in which no gross
169	171		rental receipts tax was collected for the rental of that vehicle.
170	172		SECTION 10. The obligations set forth in this Act for
171	173		peer-to-peer car sharing program providers and vehicle owners under
172	174		Chapter 152, Tax Code, as amended by this Act, shall be applicable
173	175		beginning on the effective date of this Act. Nothing in this Act
174	176		shall be construed as imposing, or authorizing the enforcement of,
175	177		any tax obligation of any kind for any transaction that occurred
176	178		before the effective date of this Act.
177	179		SECTION 11. This Act takes effect October 1, 2025.