Bill Text: TX HB4871 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the electronic submission of dealer's motor vehicle inventory tax statements and escrow payments.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-03-23 - Referred to Ways & Means [HB4871 Detail]
Download: Texas-2023-HB4871-Introduced.html
| 88R12784 DRS-D | ||
| By: Hefner | H.B. No. 4871 | |
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| relating to the electronic submission of dealer's motor vehicle | ||
| inventory tax statements and escrow payments. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Sections 23.122(a), (b), and (f), Tax Code, are | ||
| amended to read as follows: | ||
| (a) In this section: | ||
| (1) "Aggregate tax rate" means the combined tax rates | ||
| of all relevant taxing units authorized by law to levy property | ||
| taxes against a dealer's motor vehicle inventory. | ||
| (2) "Chief appraiser" has the meaning given it in | ||
| Section 23.121 of this code. | ||
| (3) "Collector" has the meaning given it in Section | ||
| 23.121 of this code. | ||
| (4) "Dealer's motor vehicle inventory" has the meaning | ||
| given it in Section 23.121 of this code. | ||
| (5) "Declaration" has the meaning given it in Section | ||
| 23.121 of this code. | ||
| (5-a) "Electronic payment" means a payment made by | ||
| credit card, debit card, electronic check, electronic funds | ||
| transfer, wire transfer, or automated clearinghouse withdrawal. | ||
| (6) "Owner" has the meaning given it in Section 23.121 | ||
| of this code. | ||
| (7) "Relevant taxing unit" means a taxing unit, | ||
| including the county, authorized by law to levy property taxes | ||
| against a dealer's motor vehicle inventory. | ||
| (8) "Sales price" has the meaning given it in Section | ||
| 23.121 of this code. | ||
| (9) "Statement" means the Dealer's Motor Vehicle | ||
| Inventory Tax Statement filed on a form promulgated by the | ||
| comptroller as required by this section. | ||
| (10) "Subsequent sale" has the meaning given it in | ||
| Section 23.121 of this code. | ||
| (11) "Total annual sales" has the meaning given it in | ||
| Section 23.121 of this code. | ||
| (12) "Unit property tax factor" means a number equal | ||
| to one-twelfth of the prior year aggregate tax rate at the location | ||
| where a dealer's motor vehicle inventory is located on January 1 of | ||
| the current year. | ||
| (b) Except for a vehicle sold to a dealer, a vehicle | ||
| included in a fleet transaction, or a vehicle that is the subject of | ||
| a subsequent sale, an owner or a person who has agreed by contract | ||
| to pay the owner's current year property taxes levied against the | ||
| owner's motor vehicle inventory shall assign a unit property tax to | ||
| each motor vehicle sold from a dealer's motor vehicle inventory. | ||
| The unit property tax of each motor vehicle is determined by | ||
| multiplying the sales price of the motor vehicle by the unit | ||
| property tax factor. On or before the 10th day of each month the | ||
| owner shall, together with the statement filed by the owner as | ||
| required by this section, deposit with the collector a sum equal to | ||
| the total of unit property tax assigned to all motor vehicles sold | ||
| from the dealer's motor vehicle inventory in the prior month to | ||
| which a unit property tax was assigned. The money shall be | ||
| deposited by the collector in or otherwise credited by the | ||
| collector to the owner's escrow account for prepayment of property | ||
| taxes as provided by this section. An escrow account required by | ||
| this section is used to pay property taxes levied against the | ||
| dealer's motor vehicle inventory, and the owner shall fund the | ||
| escrow account as provided by this subsection. The collector shall | ||
| establish a procedure by which the owner may make the deposits | ||
| required by this section by electronic payment. | ||
| (f) On or before the 10th day of each month a dealer shall | ||
| file with the collector the statement covering the sale of each | ||
| motor vehicle sold by the dealer in the prior month. On or before | ||
| the 10th day of a month following a month in which a dealer does not | ||
| sell a motor vehicle, the dealer must file the statement with the | ||
| collector and indicate that no sales were made in the prior month. | ||
| A dealer shall file a copy of the statement with the chief appraiser | ||
| and retain documentation relating to the disposition of each motor | ||
| vehicle sold. A chief appraiser or collector may examine documents | ||
| held by a dealer as required by this subsection in the same manner, | ||
| and subject to the same provisions, as are set forth in Section | ||
| 23.121(g). The collector shall establish a procedure by which a | ||
| dealer may file the statements required by this section by | ||
| electronic means. | ||
| SECTION 2. This Act takes effect September 1, 2023. | ||
