Bill Text: TX SB105 | 2015-2016 | 84th Legislature | Introduced
Bill Title: Relating to the repeal of the franchise tax.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2015-03-04 - Left pending in committee [SB105 Detail]
Download: Texas-2015-SB105-Introduced.html
84R236 TJB-D | ||
By: Estes | S.B. No. 105 |
|
||
|
||
relating to the repeal of the franchise tax. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. (a) Chapter 171, Tax Code, is repealed.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had not been repealed.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 in | ||
effect on December 31, 2015, 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. | ||
SECTION 2. This Act takes effect January 1, 2016. |