Bill Text: TX HB391 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the repeal of the franchise tax.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Introduced - Dead) 2023-04-24 - Left pending in committee [HB391 Detail]
Download: Texas-2023-HB391-Introduced.html
| 88R263 SRA-D | ||
| By: Goldman | H.B. No. 391 | |
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| relating to the repeal of the franchise tax. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Chapter 171, Tax Code, is repealed. | ||
| SECTION 2. A taxable entity that is subject to the franchise | ||
| tax imposed under Chapter 171, Tax Code, on December 31, 2023, 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. | ||
| SECTION 3. 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. | ||
| SECTION 4. 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 5. This Act takes effect January 1, 2024. | ||
