Bill Text: TX SB38 | 2011 | 82nd Legislature 1st Special | Introduced

Texas Senate Bill 38 (Prior Session Legislation)

Introduced

Bill Title: Relating to certain discounts and reimbursements allowed for payment of sales and use taxes and the allocation of certain revenue from those taxes.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Introduced - Dead) 2011-06-13 - Co-author authorized [SB38 Detail]

Download: Texas-2011-SB38-Introduced.html

	82S10137 CJC-D

	By: Ellis, Davis, Lucio	S.B. No. 38



	A BILL TO BE ENTITLED
	AN ACT
	relating to certain discounts and reimbursements allowed for
	payment of sales and use taxes and the allocation of certain revenue
	from those taxes.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Section 151.423, Tax Code, is amended to read as
	follows:
	Sec. 151.423. REIMBURSEMENT TO TAXPAYER FOR TAX
	COLLECTIONS. Subject to Section 151.4231, a [A] taxpayer may
	deduct and withhold three-fourths [~~one-half~~] of one percent of the
	amount of taxes due from the taxpayer on a timely return as
	reimbursement for the cost of collecting the taxes imposed by this
	chapter. [~~The comptroller shall provide a card with each form~~
	~~distributed for the collection of taxes under this chapter. The~~
	~~card may be inserted by the taxpayer with the tax payment to provide~~
	~~for contribution of all or part of the reimbursement provided by~~
	~~this section for use as grants under Subchapter M, Chapter 56,~~
	~~Education Code. If the taxpayer chooses to contribute the~~
	~~reimbursement for the grants, the taxpayer shall include the amount~~
	~~of the reimbursement contribution with the tax payment. The~~
	~~comptroller shall transfer money contributed under this section for~~
	~~grants under Subchapter M, Chapter 56, Education Code, to the~~
	~~appropriate fund.~~]
	SECTION 2. Subchapter I, Chapter 151, Tax Code, is amended
	by adding Section 151.4231 to read as follows:
	Sec. 151.4231. LIMITATION ON AMOUNT OF REIMBURSEMENT. (a)
	The amount deducted and withheld by a taxpayer under Section
	151.423 may not exceed:
	(1) $312.50 each month if the taxpayer files monthly;
	(2) $937.50 each quarter if the taxpayer files
	quarterly under Section 151.401(b); and
	(3) $3,750 each state fiscal year.
	(b) The comptroller shall adopt rules for determining to
	which state fiscal month, quarter, and year amounts deducted and
	withheld by a taxpayer under Section 151.423 will be allocated for
	purposes of this section.
	SECTION 3. Section 151.424, Tax Code, is amended by
	amending Subsection (a) and adding Subsections (a-1), (e), and (f)
	to read as follows:
	(a) In addition to the amount permitted to be deducted and
	withheld under Section 151.423, a [A] taxpayer who prepays the
	taxpayer's tax liability on the basis of a reasonable estimate of
	the tax liability for a quarter in which a prepayment is made or for
	a month in which a prepayment is made may deduct and withhold the
	lesser of the following, as determined by the comptroller under
	Subsection (e):
	(1) 1.25 percent of the amount of the prepayment; or
	(2) an annually adjusted percentage of the amount of
	the prepayment that yields an annualized rate of return equal to the
	prime rate as published in The Wall Street Journal on the first
	business day of each calendar year, plus four percent [~~in addition~~
	~~to the amount permitted to be deducted and withheld under Section~~
	~~151.423 of this code~~].
	(a-1) A reasonable estimate of the tax liability under
	Subsection (a) must be at least 90 percent of the tax ultimately due
	or the amount of tax paid in the same quarter, or month, if a monthly
	prepayer, in the last preceding year. Failure to prepay a
	reasonable estimate of the tax will result in the loss of the entire
	prepayment discount.
	(e) Not later than January 5 of each year, the comptroller
	shall:
	(1) determine the percentage of a taxpayer's
	prepayment that may be deducted and withheld under Subsection (a);
	and
	(2) publish the percentage determined under this
	subsection on the comptroller's Internet website.
	(f) The percentage determined under Subsection (e) applies
	to a deduction and withholding from a prepayment of tax liability
	that a taxpayer makes on or after January 15 of the year the
	comptroller makes the determination and before January 15 of the
	succeeding year.
	SECTION 4. Section 151.801, Tax Code, is amended by
	amending Subsection (a) and adding Subsections (a-1) and (a-2) to
	read as follows:
	(a) Except for the amounts allocated under Subsections
	(a-1), (a-2), (b), and (c), all proceeds from the collection of the
	taxes imposed by this chapter shall be deposited to the credit of
	the general revenue fund.
	(a-1) The comptroller shall calculate the difference
	between the amount of the proceeds from the collection of the taxes
	imposed by this chapter that, in the absence of the limitation on
	reimbursements specified by Section 151.4231, taxpayers would
	deduct and withhold under Section 151.423 at the percentage in
	effect under that section on January 1, 2011, and the amount that
	taxpayers actually deduct and withhold under Section 151.423 after
	applying the limitation specified by Section 151.4231. The
	comptroller shall deposit an amount equal to that difference to an
	account in the general revenue fund. Money in the account may be
	appropriated only to provide grants under Subchapter M, Chapter 56,
	Education Code.
	(a-2) If the percentage determined under Section
	151.424(a)(2) applies in determining the amount a taxpayer may
	deduct and withhold under Section 151.424 from taxes imposed by
	this chapter, the comptroller shall determine the difference
	between the amount the taxpayer would deduct and withhold if the
	percentage under Section 151.424(a)(1) applied and the amount the
	taxpayer actually deducts and withholds under Section
	151.424(a)(2). The comptroller shall deposit an amount equal to
	that difference in an account in the general revenue fund. Money in
	the account may be appropriated only to provide grants under
	Subchapter M, Chapter 56, Education Code.
	SECTION 5. The comptroller of public accounts shall make
	the initial determination required by Section 151.424(e), Tax Code,
	as added by this Act, not later than January 5, 2012.
	SECTION 6. Section 151.423, Tax Code, as amended by this
	Act, applies to a tax report due on or after the effective date of
	this Act. A tax report due before the effective date of this Act is
	governed by the law in effect on the date the tax report was due, and
	the former law is continued in effect for that purpose.
	SECTION 7. Section 151.424, Tax Code, as amended by this
	Act, applies to a prepayment of tax liability made on or after
	January 15, 2012. A prepayment of tax liability made before January
	15, 2012, is governed by the law in effect immediately preceding the
	effective date of this Act, and the former law is continued in
	effect for that purpose.
	SECTION 8. 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 9. This Act takes effect September 1, 2011, if this
	Act 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 this Act to take
	effect on that date, this Act takes effect October 1, 2011.