87R9574 CJC-D
 
  By: Cason H.B. No. 3000
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the repeal of the franchise tax; making an
  appropriation.
         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  (a)  Chapter 171, Tax Code, is repealed.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, 2021, is not
  required to file a franchise tax report or pay a tax on the taxable
  entity's taxable margin for the period ending on that date.
         (c)  Chapter 171, Tax Code, as that chapter existed
  immediately before its repeal by this Act, 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 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 of public accounts,
  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.  (a) Not later than December 1, 2021, the
  comptroller of public accounts, in consultation with the
  Legislative Budget Board, shall determine the total amount of
  revenue anticipated to have been received by this state during the
  state fiscal biennium ending August 31, 2023, attributable to the
  tax imposed under Chapter 171, Tax Code, if that chapter were not
  repealed.
         (b)  On January 1, 2022, the amount determined under
  Subsection (a) of this section is appropriated from the economic
  stabilization fund to the comptroller of public accounts for the
  purpose of depositing that amount to the credit of the general
  revenue fund as money available for use during the state fiscal
  biennium ending August 31, 2023, to make expenditures previously
  authorized by appropriations from general revenue for that state
  fiscal biennium.
         SECTION 3.  This Act takes effect January 1, 2022, but only
  if:
               (1)  this Act receives a vote of two-thirds of the
  members present in each house of the legislature, as provided by
  Section 49-g(m), Article III, Texas Constitution; and
               (2)  the total amount of appropriations made by the
  General Appropriations Act for the state fiscal biennium ending
  August 31, 2023, is at least three percent less than the total
  amount of appropriations made by the General Appropriations Act for
  the state fiscal biennium ending August 31, 2021.