HBA-JRA H.B. 2577 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2577 By: Hamric Ways & Means 4/19/1999 Introduced BACKGROUND AND PURPOSE Currently, there are several professional associations, including those for doctors, accountants, architects, engineers, real estate brokers, and attorneys, whose members are required to pay an annual occupation tax in order to practice their profession in the State of Texas. H.B. 2577 exempts a person that is licensed in more than one of the participating professions from paying an increase or tax relating to a license other than the first license obtained by the person. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the comptroller of public accounts and any licensing agency affected by the exemption under this Act in SECTION 3 of this bill. SECTION BY SECTION ANALYSIS SECTION 1. DEFINITIONS. Defines "license" and "licensing agency" in this Act. SECTION 2. LICENSING FEE EXEMPTION. Exempts a person who is otherwise subject to more than one of the fee increases or the tax listed in this section from paying an increase or tax relating to a license other than the first license obtained by the person. Makes this Act applicable to a fee increase or tax imposed under Section 3.11A, Article 4495b, V.T.C.S. (Medical Practice Act); Section 9A, Article 41a-1, V.T.C.S. (Public Accountancy Act of 1991); Section 4C, Article 249a , V.T.C.S. (Regulation of Practice of Architecture); Section 13B, Article 3271a, V.T.C.S. (Texas Engineering Practice Act); Section 11A, Article 6573a, V.T.C.S. (Real Estate Licensing Act); and Subchapter H (Attorneys), Chapter 191 (Miscellaneous Occupation Taxes), Tax Code. SECTION 3. PROCEDURE FOR OBTAINING EXEMPTION. Authorizes a person to claim an exemption under this section by timely paying the appropriate fee increase or tax and presenting a receipt for that payment to the other applicable licensing agencies along with a written statement claiming the exemption. Requires a licensing agency affected by the exemptions under this Act to adopt rules and procedures relating to how the exemption is obtained, which must include the procedures to inform license holders of the exemption provided by this Act. Requires a licensing agency to prescribe forms as necessary, including a form for a notice of exemption. Authorizes the comptroller of public accounts, by rule, to prescribe a standard form for receipts and for claims of exemption. Provides that a claimed exemption is not invalid for failure to use a standard form. SECTION 4. CONFORMING AMENDMENT. Amends Section 3.11A, Article 4495b, V.T.C.S. (Medical Practice Act), as follows: Sec. 3.11A. New title: DISPOSITION OF INCREASE IN FEES. Provides that the stated portion of each fee is an increase in fees for purposes of an exemption in the payment of a professional fee or tax that may be granted to a person licensed under this Act. SECTION 5. TRANSITION. Effective date: September 1, 1999, except that SECTION 2 of this Act takes effect January 1, 2000, and applies only to an increase in fees or tax that becomes due on or after that date. Requires a licensing agency subject to this Act to adopt rules under this Act by November 1, 1999. SECTION 6. EMERGENCY. Emergency clause.