Bill Text: TX HB202 | 2023 | 88th Legislature 3rd Special Session | Introduced
Bill Title: Relating to an exemption for policies issued to school districts and open-enrollment charter schools from certain insurance premium taxes.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-10-31 - Filed [HB202 Detail]
Download: Texas-2023-HB202-Introduced.html
| 88S30832 CJD-D | ||
| By: Thompson of Brazoria | H.B. No. 202 | |
|
|
||
|
|
||
| relating to an exemption for policies issued to school districts | ||
| and open-enrollment charter schools from certain insurance premium | ||
| taxes. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Chapter 203, Insurance Code, is amended by | ||
| adding Section 203.003 to read as follows: | ||
| Sec. 203.003. EXEMPTION FROM CERTAIN PREMIUM TAXES FOR | ||
| PUBLIC SCHOOL POLICIES. (a) Notwithstanding any other law, an | ||
| insurer is not liable for premium taxes imposed under Chapters 221, | ||
| 222, 224, 225, and 226 on a policy issued to a school district or | ||
| open-enrollment charter school. | ||
| (b) To qualify for an exemption under this section, the | ||
| insurer must keep on file a form, signed and dated by an authorized | ||
| representative of the school district or open-enrollment charter | ||
| school, affirming that the policy is for a school district or | ||
| open-enrollment charter school that is eligible to receive funding | ||
| from the Foundation School Program under Chapter 48, Education | ||
| Code. | ||
| (c) The comptroller and the commissioner may adopt rules | ||
| necessary to implement this section. | ||
| SECTION 2. Section 281.005, Insurance Code, is amended to | ||
| read as follows: | ||
| Sec. 281.005. EXCLUSION OF CERTAIN TAXES OR CHARGES. (a) | ||
| In determining an insurer's taxes or other charges under this | ||
| subchapter, the comptroller may not consider: | ||
| (1) an ad valorem tax on property; | ||
| (2) a personal income tax; | ||
| (3) a sales tax; | ||
| (4) a surcharge that an insurer may recover directly | ||
| from policyholders; or | ||
| (5) an assessment for a special purpose, such as an | ||
| assessment for a guaranty association, high risk health pool, joint | ||
| underwriting association, or windstorm association, under the law | ||
| of this or another state. | ||
| (b) Notwithstanding Section 203.003, in determining an | ||
| insurer's taxes or other charges under this subchapter, the | ||
| comptroller shall consider the insurer to be liable for premium | ||
| taxes for which an exemption is provided under that section as if | ||
| that section did not exist. | ||
| SECTION 3. The changes in law made by this Act apply only to | ||
| tax liability for a tax year that begins on or after the effective | ||
| date of this Act. | ||
| SECTION 4. This Act takes effect on the 91st day after the | ||
| last day of the legislative session. | ||
