Bill Text: TX HB3702 | 2021-2022 | 87th Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to prohibiting the enactment of a law that imposes a tax on certain transactions that either convey a security or involve specified derivative contracts.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Engrossed - Dead) 2021-05-24 - Placed on intent calendar [HB3702 Detail]
Download: Texas-2021-HB3702-Introduced.html
Bill Title: Relating to prohibiting the enactment of a law that imposes a tax on certain transactions that either convey a security or involve specified derivative contracts.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Engrossed - Dead) 2021-05-24 - Placed on intent calendar [HB3702 Detail]
Download: Texas-2021-HB3702-Introduced.html
87R14332 TYPED | ||
By: Paddie | H.B. No. 3702 |
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Relating to prohibiting the enactment of a law that imposes a tax on | ||
certain transactions that either convey a security or involve | ||
specified derivative contracts. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 101, Tax Code is amended by adding | ||
Section 101.010 to read as follows: | ||
Sec. 101.010. Provisions Relating to Securities Market | ||
Operators (a) After January 1, 2022, no law may be enacted that | ||
imposes an occupation tax upon a Registered Securities Market | ||
Operator or a tax upon a securities transaction of a Registered | ||
Securities Market Operator. | ||
(b) The term "Registered Securities Market Operator" means | ||
a self-regulatory organization, national securities exchange, | ||
financial institution, alternative trading system, trade reporting | ||
facility, broker, dealer, clearing agency, or transfer agent, as | ||
those terms are defined in the Securities Exchange Act of 1934, 15 | ||
U.S.C. 78a et seq., or a board of trade, commodities pool operator, | ||
derivatives clearing organization, electronic trading facility, or | ||
organized exchange, as that term is defined in the Commodities | ||
Futures Exchange Act, 7 U.S.C. 1 et seq., or an affiliate, | ||
subsidiary, or facility thereof, to the extent that such Regulated | ||
Securities Market Operator is subject to registration with and | ||
regulation by the U.S. Securities and Exchange Commission or the | ||
U.S. Commodities Futures Trading Commission. | ||
(c) The term "security" or "securities" means the | ||
definition of that term set forth in the Securities Exchange Act of | ||
1934, 15 U.S.C. § 78c(a)(10). | ||
(d) The term "securities transaction" means the purchase or | ||
sale of securities by a Registered Securities Market Operator on | ||
behalf of a customer, any contract or agreement to do the same, and | ||
any service by a Registered Securities Market Operator to | ||
facilitate, match parties to, process, report, clear, or settle the | ||
purchase or sale of securities on behalf of a customer. | ||
(d) This section does not prohibit: | ||
(1) the imposition of a general business tax measured | ||
by business activity; | ||
(2) the imposition of a tax on the production of | ||
minerals; | ||
(3) the imposition of a tax on insurance premiums; | ||
(4) the imposition of a general sales tax on tangible | ||
personal property or services; | ||
(5) the imposition of a fee based on the cost of | ||
processing documents; or | ||
(6) the change of a rate of a tax in existence on | ||
January 1, 2022. | ||
SECTIONA 2. This Act takes effect January 1, 2022, but only if the | ||
constitutional amendment proposed by the 87th Legislature, Regular | ||
Session, 2021, to authorize the legislature to prohibiting the | ||
enactment of a law that imposes a tax on certain transactions that | ||
either convey a security or involve specified derivative contracts | ||
is approved by the voters. If that amendment is not approved by the | ||
voters, this Act has no effect. |