Bill Text: TX HB3709 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to authorizing a county to impose a tax on the sale of certain solid materials and substances.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-05-03 - Left pending in committee [HB3709 Detail]
Download: Texas-2017-HB3709-Introduced.html
85R12051 CBH-D | ||
By: Sheffield | H.B. No. 3709 |
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relating to authorizing a county to impose a tax on the sale of | ||
certain solid materials and substances. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle C, Title 3, Tax Code, is amended by | ||
adding Chapter 329 to read as follows: | ||
CHAPTER 329. COUNTY TAX ON SALE OF CERTAIN SOLID MATERIALS AND | ||
SUBSTANCES | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 329.001. DEFINITIONS. In this chapter: | ||
(1) "First sale" with respect to taxable material | ||
means the first transfer of possession in connection with a | ||
purchase, sale, or any exchange for value of taxable material. | ||
(2) "Place of business of the seller" means the | ||
location at which taxable materials are mined. | ||
(3) "Seller" means a person engaged in the business of | ||
making sales of taxable materials. | ||
(4) "Taxable material" means clay, stone, sand, | ||
gravel, aggregate, limestone, caliche, metalliferous and | ||
nonmetalliferous ores, and other solid materials or substances of | ||
commercial value excavated in solid form from natural deposits on | ||
or in the earth. The term does not include coal or lignite. | ||
SUBCHAPTER B. IMPOSITION OF TAX | ||
Sec. 329.051. TAX AUTHORIZED. (a) A county by order may | ||
impose a tax on the first sale of taxable material. Subsequent | ||
sales of taxable material are not subject to the tax authorized by | ||
this chapter. | ||
(b) A sale of taxable material occurs in the county in which | ||
the sale is consummated. A sale of taxable material is consummated | ||
at the place of business of the seller regardless of: | ||
(1) the place where the seller first receives the | ||
order for the sale; | ||
(2) the place from which the seller ships or delivers | ||
the taxable material; or | ||
(3) the place where transfer of title or possession | ||
occurs. | ||
Sec. 329.052. TAX RATE. (a) The county by order may impose | ||
the tax authorized by this chapter at any rate not to exceed 15 | ||
cents for each ton or fraction of a ton of taxable material. | ||
(b) A county by order may change the rate of the tax | ||
authorized by this chapter to any rate that does not exceed the | ||
maximum rate prescribed by Subsection (a). | ||
Sec. 329.053. ABOLITION OF TAX. A county by order may | ||
abolish a tax authorized by this chapter. | ||
Sec. 329.054. EFFECTIVE DATE AND ENDING DATE OF TAX. The | ||
imposition of the tax authorized by this chapter, a change in a tax | ||
rate, or the abolition of the tax takes effect on the date | ||
prescribed by the county order imposing the tax, changing the rate, | ||
or abolishing the tax. | ||
SUBCHAPTER C. COLLECTION AND ENFORCEMENT OF TAX | ||
Sec. 329.101. DUTY TO COLLECT. (a) A county by order may | ||
require the seller of taxable material to collect the tax | ||
authorized by this chapter for the benefit of the county. | ||
(b) A seller required to collect the tax shall add the tax to | ||
the price of the taxable material and the tax is a part of the price | ||
of the taxable material, a debt owed to the seller of the taxable | ||
material by the person who purchased the taxable material, and | ||
recoverable at law in the same manner as the price of the taxable | ||
material. | ||
Sec. 329.102. COLLECTION PROCEDURES. (a) A person | ||
required to collect a tax authorized by this chapter shall report | ||
and remit the tax to the county as provided by the county imposing | ||
the tax. | ||
(b) A county by order may prescribe penalties, including | ||
interest charges, for failure to keep records required by the | ||
county, to report when required, or to remit the tax when due. The | ||
attorney acting for the county may bring suit against a person who | ||
fails to collect the tax and to remit the tax to the county as | ||
required. | ||
(c) A county by order may permit a person who is required to | ||
collect a tax under this chapter to retain a percentage of the | ||
amount collected and required to be reported and remitted as | ||
reimbursement to the person for the costs of collecting the tax. | ||
The county may provide that the person may retain the amount only if | ||
the person files reports and remits the tax as required by the | ||
county. | ||
SUBCHAPTER D. CLASSIFICATION OF TAX AND USE OF REVENUE | ||
Sec. 329.151. NOT OCCUPATION TAX. The tax authorized by | ||
this chapter is not an occupation tax on the person that mines the | ||
taxable material or on the seller of the taxable material. | ||
Sec. 329.152. USE OF REVENUE. A county may use revenue from | ||
the tax authorized by this chapter only to operate, maintain, and | ||
improve county roads. | ||
SECTION 2. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2017. |