Bill Text: TX SB774 | 2019-2020 | 86th Legislature | Introduced
Bill Title: Relating to a franchise tax credit for taxable entities offering postsecondary tuition assistance.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-04-15 - Left pending in committee [SB774 Detail]
Download: Texas-2019-SB774-Introduced.html
86R5768 GRM-D | ||
By: Creighton | S.B. No. 774 |
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relating to a franchise tax credit for taxable entities offering | ||
postsecondary tuition assistance. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 171, Tax Code, is amended by adding | ||
Subchapter K to read as follows: | ||
SUBCHAPTER K. TAX CREDIT FOR TAXABLE ENTITIES THAT PROVIDE | ||
TUITION ASSISTANCE | ||
Sec. 171.551. DEFINITION. In this subchapter, | ||
"postsecondary educational institution" means any public or | ||
private institution that provides courses of instruction beyond | ||
that offered in secondary schools, including proprietary, | ||
vocational, and technical schools. | ||
Sec. 171.552. ELIGIBILITY FOR CREDIT. A taxable entity is | ||
entitled to a credit in the amount and under the conditions and | ||
limitations provided by this subchapter against the tax imposed | ||
under this chapter. | ||
Sec. 171.553. QUALIFICATION. A taxable entity qualifies | ||
for a credit under this subchapter if the taxable entity provides | ||
tuition assistance for an employee attending a postsecondary | ||
educational institution. | ||
Sec. 171.554. AMOUNT; LIMITATION. (a) The amount of the | ||
credit for a period is equal to the lesser of the amount of tuition | ||
assistance provided to all employees during the period and the | ||
amount of franchise tax due for the report after all other | ||
applicable tax credits. | ||
(b) A taxable entity may claim a credit under this | ||
subchapter for an expenditure made during a reporting period only | ||
against the tax owed for the period. | ||
Sec. 171.555. APPLICATION FOR CREDIT. (a) A taxable entity | ||
must apply for a credit under this subchapter on or with the tax | ||
report for the period for which the credit is claimed. | ||
(b) The comptroller shall adopt a form for the application | ||
for the credit. A taxable entity must use the form in applying for | ||
the credit. | ||
Sec. 171.556. ASSIGNMENT PROHIBITED. A taxable entity may | ||
not convey, assign, or transfer the credit allowed under this | ||
subchapter to another taxable entity unless all of the assets of the | ||
taxable entity are conveyed, assigned, or transferred in the same | ||
transaction. | ||
Sec. 171.557. RULES. The comptroller shall adopt rules | ||
necessary to implement this subchapter. | ||
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, 2020. |