Bill Text: TX HB4054 | 2017-2018 | 85th Legislature | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the application of sales and use taxes to certain food items.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-01 - Effective on 9/1/17 [HB4054 Detail]
Download: Texas-2017-HB4054-Engrossed.html
Bill Title: Relating to the application of sales and use taxes to certain food items.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-01 - Effective on 9/1/17 [HB4054 Detail]
Download: Texas-2017-HB4054-Engrossed.html
By: Murphy | H.B. No. 4054 |
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relating to the application of sales and use taxes to certain food | ||
items. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 151.314, Tax Code, is amended by | ||
amending Subsections (b), (c-2), and (c-3) and adding Subsection | ||
(b-2) to read as follows: | ||
(b) "Food products" shall include, except as otherwise | ||
provided herein, but shall not be limited to cereals and cereal | ||
products; milk and milk products, including ice cream; | ||
oleomargarine; meat and meat products; poultry and poultry | ||
products; fish and fish products; eggs and egg products; vegetables | ||
and vegetable products; fruit and fruit products; spices, | ||
condiments, and salt; sugar and sugar products; coffee and coffee | ||
substitutes; tea; cocoa products; snack items; bakery items; or any | ||
combination of the above. | ||
(b-2) For purposes of this section: | ||
(1) "Bakery" means a retail location that primarily | ||
sells bakery items from a display case or counter, predominantly | ||
for consumption off the premises. | ||
(2) "Bakery items" means bread, rolls, buns, biscuits, | ||
bagels, croissants, pastries, doughnuts, Danish, cakes, tortes, | ||
pies, tarts, muffins, bars, cookies, tortillas, and similar items. | ||
(c-2) The exemption provided by Subsection (a) does not | ||
include the following prepared food: | ||
(1) except as provided by Subsection (c-3)(1), food, | ||
food products, and drinks, including meals, milk and milk products, | ||
fruit and fruit products, sandwiches, salads, processed meats and | ||
seafoods, vegetable juice, and ice cream in cones or small cups, | ||
served, prepared, or sold ready for immediate consumption by | ||
restaurants, lunch counters, cafeterias, delis, vending machines, | ||
hotels, or like places of business or sold ready for immediate | ||
consumption from pushcarts, motor vehicles, or any other form of | ||
vehicle; | ||
(2) except as provided by Subsection (c-3), food sold | ||
in a heated state or heated by the seller; or | ||
(3) two or more food ingredients mixed or combined by | ||
the seller for sale as a single item, including items that are sold | ||
in an unheated state by weight or volume as a single item, but not | ||
including food that is only cut, repackaged, or pasteurized by the | ||
seller. | ||
(c-3) The exemption provided by Subsection (a) includes: | ||
(1) bakery items sold by a bakery, regardless of | ||
whether heated by the consumer or seller [ |
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(2) eggs, fish, meat, and poultry, and foods | ||
containing these raw animal foods, that require cooking by the | ||
consumer as recommended by the Food and Drug Administration in | ||
Chapter 3, Section 401.11 of its Food Code to prevent food-borne | ||
illness and any other food that requires cooking by the consumer | ||
before the food is edible. | ||
SECTION 2. 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 3. This Act takes effect September 1, 2017. |