Bill Text: TX HB2256 | 2019-2020 | 86th Legislature | Enrolled

Texas House Bill 2256 (Prior Session Legislation)

Bill Title: Relating to procedures for tax auditing, determining amounts of overpayments, and obtaining reimbursements of overpayments of gas production taxes.

Sponsorship: Partisan Bill (Republican 2)

Status: (Passed) 2019-06-14 - Effective on 9/1/19 [HB2256 Detail]

Download: Texas-2019-HB2256-Enrolled.html



	H.B. No. 2256




	AN ACT
	relating to procedures for tax auditing, determining amounts of
	overpayments, and obtaining reimbursements of overpayments of gas
	production taxes.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Subchapter E, Chapter 201, Tax Code, is amended
	by adding Section 201.207 to read as follows:
	Sec. 201.207. DETERMINATION OF OVERPAID AMOUNTS. (a) This
	section applies to the tax paid under this chapter by a person who
	filed a report under Section 201.203 or 201.2035 and remitted tax in
	error to this state.
	(b) A person to whom this section applies may compute the
	amount of overpayment using a sampling of marketing cost
	transactions if the comptroller approves the sampling method.
	(c) The person may obtain reimbursement for amounts
	determined to have been overpaid by taking a credit on one or more
	reports filed under Section 201.203 or 201.2035 or by filing a claim
	for refund with the comptroller within the limitation period
	specified by Section 111.107 and Subchapter D, Chapter 111.
	(d) The person must record the method by which the
	computation of the overpayment is performed and must make available
	on request by the comptroller the records on which the computation
	is based.
	(e) The comptroller may adopt rules specifying additional
	procedures that must be followed in connection with claiming a
	credit under this section.
	SECTION 2. Subchapter G, Chapter 201, Tax Code, is amended
	by adding Section 201.3021 to read as follows:
	Sec. 201.3021. MANAGED AUDITS. (a) In this section,
	"managed audit" means a review and analysis of invoices, checks,
	accounting records, or other documents or information conducted by
	a taxpayer to determine a taxpayer's liability for tax under this
	chapter.
	(b) The comptroller may, in a written agreement, authorize a
	taxpayer to conduct a managed audit under this section. The
	agreement must:
	(1) be signed by an authorized representative of the
	comptroller and the taxpayer; and
	(2) specify the period to be audited and the procedure
	to be followed.
	(c) The decision to authorize or not authorize a managed
	audit rests solely with the comptroller.
	(d) In determining whether to authorize a managed audit
	under this section, the comptroller may consider:
	(1) the taxpayer's history of tax compliance;
	(2) whether the taxpayer has sufficient time and
	resources to conduct the audit;
	(3) the sufficiency and availability of the taxpayer's
	tax records;
	(4) the taxpayer's ability to pay any liability
	arising as a result of the audit; and
	(5) any other factor the comptroller determines is
	relevant.
	(e) A managed audit may be limited to one or more factors
	affecting a taxpayer's liability for tax under this chapter,
	including:
	(1) gross value of gas produced;
	(2) exempt interest;
	(3) marketing costs of gas produced;
	(4) gas used to power operations at a well or lease; or
	(5) tax reimbursement paid by a purchaser to a
	producer.
	(f) The comptroller may examine records and perform reviews
	that the comptroller determines are necessary before the audit is
	finalized to verify the results of the audit.
	(g) Unless the audit or information reviewed by the
	comptroller under Subsection (f) discloses fraud or wilful evasion
	of the tax, the comptroller may not assess a penalty and may waive
	all or part of the interest that would otherwise accrue on any
	amount identified to be due in a managed audit. This subsection does
	not apply to any amount collected by the taxpayer that was a tax or
	represented to be a tax but that was not remitted to this state.
	(h) Except as provided by Section 111.104(f), the taxpayer
	is entitled to a refund of any tax overpayment disclosed by a
	managed audit under this section.
	(i) The comptroller may adopt rules and establish
	procedures to administer this section, including procedures that
	must be followed when conducting a managed audit under this
	section.
	SECTION 3. The change in law made by this Act does 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 September 1, 2019.


	______________________________	______________________________
	President of the Senate	Speaker of the House


	I certify that H.B. No. 2256 was passed by the House on May 3,
	2019, by the following vote: Yeas 140, Nays 0, 2 present, not
	voting.

	______________________________
	Chief Clerk of the House


	I certify that H.B. No. 2256 was passed by the Senate on May
	21, 2019, by the following vote: Yeas 31, Nays 0.

	______________________________
	Secretary of the Senate
	APPROVED: _____________________
	Date

	_____________________
	Governor