Bill Text: TX HB321 | 2015-2016 | 84th Legislature | Introduced
Bill Title: Relating to the repeal of the franchise tax.
Sponsorship: Partisan Bill (Republican 4)
Status: (Introduced - Dead) 2015-02-11 - Referred to Ways & Means [HB321 Detail]
Download: Texas-2015-HB321-Introduced.html
| By: Keough | H.B. No. 321 | |
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| A bill relating to the repeal of the franchise tax. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. This act may be cited as the Business Tax Relief | ||
| Act. | ||
| SECTION 2. Section 1(c), Chapter 286 (H.B. 4765), Acts of | ||
| the 81st Legislature, Regular Session, 2009, as amended by Section | ||
| 37.01, Chapter 4 (S.B. 1), Acts of the 82nd Legislature, 1st Called | ||
| Session, 2011, is repealed. | ||
| SECTION 3. Section 2, Chapter 286 (H.B. 4765), Acts of the | ||
| 81st Legislature, Regular Session, 2009, as amended by Section | ||
| 37.02, Chapter 4 (S.B. 1), Acts of the 82nd Legislature, 1st Called | ||
| Session, 2011, and which amended former Subsection (d), Section | ||
| 171.002, Tax Code, is repealed. | ||
| SECTION 4. Section 3, Chapter 286 (H.B. 4765), Acts of the | ||
| 81st Legislature, Regular Session, 2009, as amended by Section | ||
| 37.03, Chapter 4 (S.B. 1), Acts of the 82nd Legislature, 1st Called | ||
| Session, 2011, and which amended former Subsection (a), Section | ||
| 171.0021, Tax Code, is repealed. | ||
| SECTION 5. (a) Chapter 171, Tax Code, is repealed. | ||
| (b) A taxable entity that is subject to the franchise tax | ||
| imposed under Chapter 171, Tax Code, on December 31, 2015, shall | ||
| file a final franchise tax return and pay a transitional tax as | ||
| required by this subsection on or before May 15, 2016. The | ||
| transitional tax is equal to the tax the taxable entity would have | ||
| paid in 2016 under Chapter 171, Tax Code, if Chapter 171, Tax Code, | ||
| had not been repealed. The provisions of Chapter 171, Tax Code, | ||
| relating to the computation and payment of the franchise tax remain | ||
| in effect after the repeal of Chapter 171, Tax Code, by this section | ||
| for the purposes of computing and paying the transitional tax | ||
| required by this subsection. | ||
| (c) Chapter 171, Tax Code, and Subtitle B, Title 2, Tax | ||
| Code, continue to apply to audits, deficiencies, redeterminations, | ||
| and refunds of any tax due or collected under Chapter 171, including | ||
| the tax due as provided by Subsection (b) of this section, until | ||
| barred by limitations. | ||
| (d) The repeal of Chapter 171, Tax Code, does not affect: | ||
| (1) the status of a taxable entity that has had its | ||
| corporate privileges, certificate of authority, certificate of | ||
| organization, certificate of limited partnership, corporate | ||
| charter, or registration revoked, suit filed against it, or a | ||
| receiver appointed under Subchapter F, G, or H of that chapter; | ||
| (2) the ability of the comptroller, secretary of | ||
| state, or attorney general to take action against a taxable entity | ||
| under Subchapter F, G, or H of that chapter for actions that took | ||
| place before the repeal; or | ||
| (3) the right of a taxable entity to contest a | ||
| forfeiture, revocation, lawsuit, or appointment of a receiver under | ||
| Subchapter F, G, or H of that chapter. | ||
| (e) This section takes effect January 1, 2017. | ||
| SECTION 6. Sections 171.0021 and 171.1016(d), Tax Code, are | ||
| repealed. | ||
| SECTION 7. Except as otherwise provided by this Act, this | ||
| Act applies only to a report originally due on or after the | ||
| effective date of this Act. | ||
| SECTION 8. Except as otherwise provided by this Act, this | ||
| Act takes effect January 1, 2016. | ||
