Bill Text: TX HB2941 | 2015-2016 | 84th Legislature | Introduced
Bill Title: Relating to the computation of wages and cash compensation for purposes of the franchise tax.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2015-03-16 - Referred to Ways & Means [HB2941 Detail]
Download: Texas-2015-HB2941-Introduced.html
84R13305 BEF-F | ||
By: Capriglione | H.B. No. 2941 |
|
||
|
||
relating to the computation of wages and cash compensation for | ||
purposes of the franchise tax. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 171.1013(a), Tax Code, is amended to | ||
read as follows: | ||
(a) Except as otherwise provided by this section, "wages and | ||
cash compensation" means the amount entered in the Medicare wages | ||
and tips box of Internal Revenue Service Form W-2 or any subsequent | ||
form with a different number or designation that substantially | ||
provides the same information. The term also includes, to the | ||
extent not included above: | ||
(1) a person's net distributive income from a taxable | ||
entity treated as a partnership for federal income tax purposes, | ||
but only if the person [ |
||
person, a professional association owned entirely by natural | ||
persons, or a professional corporation owned entirely by natural | ||
persons, and only if the amount is positive; | ||
(2) a person's net distributive income from limited | ||
liability companies and corporations treated as S corporations for | ||
federal income tax purposes, but only if the person [ |
||
|
||
positive; | ||
(3) stock awards and stock options deducted for | ||
federal income tax purposes; [ |
||
(4) a person's net distributive income from a limited | ||
liability company treated as a sole proprietorship for federal | ||
income tax purposes, but only if the person [ |
||
|
||
positive; and | ||
(5) payroll taxes paid by a taxable entity in | ||
connection with the employment of an officer, director, owner, | ||
partner, or employee. | ||
SECTION 2. This Act applies only to a report originally due | ||
on or after the effective date of this Act. | ||
SECTION 3. This Act takes effect January 1, 2016. |