Bill Text: TX HB2580 | 2011-2012 | 82nd Legislature | Comm Sub
Bill Title: Relating to certain investments by insurance companies and related organizations.
Spectrum: Moderate Partisan Bill (Republican 4-1)
Status: (Introduced - Dead) 2011-04-18 - Committee report sent to Calendars [HB2580 Detail]
Download: Texas-2011-HB2580-Comm_Sub.html
82R16990 TJS-D | |||
By: Murphy | H.B. No. 2580 | ||
Substitute the following for H.B. No. 2580: | |||
By: Murphy | C.S.H.B. No. 2580 |
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relating to certain investments by insurance companies and related | ||
organizations. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 228.001, Insurance Code, is amended by | ||
amending Subdivision (7-b) and adding Subdivision (7-c) to read as | ||
follows: | ||
(7-b) "Program Two" means the program for allocation | ||
and investment of certified capital under this chapter on or after | ||
January 1, 2007, and before January 1, 2011. | ||
(7-c) "Program Three" means the program for allocation | ||
and investment of certified capital under this chapter on or after | ||
January 1, 2011. | ||
SECTION 2. Section 228.251, Insurance Code, is amended by | ||
adding Subsection (d) to read as follows: | ||
(d) With respect to credits earned as a result of | ||
investments made under Program Three, beginning with the tax report | ||
due March 1, 2017, for the 2016 tax year, a certified investor may | ||
take up to 25 percent of the vested premium tax credit in any | ||
taxable year of the certified investor. The credit may not be | ||
applied to estimated payments due in 2016. | ||
SECTION 3. Section 228.253(b), Insurance Code, is amended | ||
to read as follows: | ||
(b) The certified capital company must have filed the claim | ||
with the comptroller on the date on which the comptroller accepted | ||
premium tax credit allocation claims on behalf of certified | ||
investors with respect to Program One, [ |
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Three, as applicable, under the comptroller's rules. | ||
SECTION 4. Section 228.254, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 228.254. TOTAL LIMIT ON PREMIUM TAX CREDITS. (a) The | ||
total amount of certified capital for which premium tax credits may | ||
be allowed under this chapter for all years in which premium tax | ||
credits are allowed is: | ||
(1) $200 million for Program One; [ |
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(2) $200 million for Program Two; and | ||
(3) $200 million for Program Three. | ||
(b) The total amount of certified capital for which premium | ||
tax credits may be allowed for all certified investors under this | ||
chapter may not exceed the amount that would entitle all certified | ||
investors in certified capital companies to take total credits of | ||
$50 million in a year with respect to Program One, [ |
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in a year with respect to Program Two, and $50 million in a year with | ||
respect to Program Three. | ||
(c) A certified capital company and the company's | ||
affiliates may not file premium tax credit allocation claims with | ||
respect to Program One, [ |
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applicable, in excess of the maximum amount of certified capital | ||
for which premium tax credits may be allowed for that program as | ||
provided by this section. | ||
SECTION 5. Section 228.255, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 228.255. ALLOCATION OF PREMIUM TAX CREDIT. (a) If the | ||
total premium tax credits claimed by all certified investors with | ||
respect to Program One, [ |
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applicable, exceeds the total limits on premium tax credits | ||
established for that program by Section 228.254(a), the comptroller | ||
shall allocate the total amount of premium tax credits allowed | ||
under this chapter to certified investors in certified capital | ||
companies on a pro rata basis in accordance with this section. | ||
(b) The pro rata allocation for each certified investor | ||
shall be the product of: | ||
(1) a fraction, the numerator of which is the amount of | ||
the premium tax credit allocation claim filed on behalf of the | ||
investor with respect to Program One, [ |
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Three, as applicable, and the denominator of which is the total | ||
amount of all premium tax credit allocation claims filed on behalf | ||
of all certified investors with respect to that program; and | ||
(2) the total amount of certified capital for which | ||
premium tax credits may be allowed with respect to that program | ||
under this chapter. | ||
(c) The maximum amount of certified capital for which | ||
premium tax credit allocation may be allowed on behalf of a single | ||
certified investor and the investor's affiliates with respect to | ||
Program One, [ |
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whether by one or more certified capital companies, may not exceed | ||
the greater of: | ||
(1) $10 million; or | ||
(2) 15 percent of the maximum aggregate amount | ||
available with respect to that program under Section 228.254(a). | ||
SECTION 6. This Act takes effect September 1, 2011. |