HBA-GUM H.B. 3405 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3405 By: Williams Ways & Means 4/19/1999 Introduced BACKGROUND AND PURPOSE Current law allows a county tax assessor-collector to seize a person's personal property for the payment of delinquent tax, penalty, and interest owed a taxing unit. When executing a tax warrant, in some instances, the assessor-collector discovers the state is owed sales taxes as well. H.B. 3405 authorizes the assessor-collector, with written confirmation from the comptroller, to include with the seizure and sale an amount equal to the taxes owed to the state. This bill also requires a court to direct that the property described in the warrant be seized in a specified amount, and sets forth the manner in which the proceeds are to be distributed. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter A, Chapter 33, Tax Code, by adding Section 33.08, as follows: Sec. 33.08 SEIZURE AND SALE OF PROPERTY FOR DELINQUENT STATE TAXES, PENALTIES, AND INTEREST. (a) Authorizes a tax collector, in an application for a warrant under Suchapter B (Seizure of Personal Property) or E (Seizure of Real Property), to apply for seizure of the property to collect delinquent taxes, penalties, and interest owing under Title 2 (State Taxation) for which the owner of the property is liable, if the specified requirements concerning notice and comptroller certification and attorney general and comptroller approval under this section are satisfied. (b) Requires a court, upon finding on application for the warrant that the requirements of Subsection (a) have been satisfied, to direct that the property described in the warrant be seized for the payment in the amount specified under this subsection. (c) Provides that the proceeds, on sale of the property, be applied in the manner prescribed by Section 34.02 (Distribution of Proceeds). Requires the officer making the sale, after payment of costs and distribution of the proceeds of the sale to the entitled taxing units, to transfer to the Comptroller of Public Accounts the amount of the remainder to satisfy delinquent liability under Subsection (a) before paying the excess proceeds to the clerk of the court under Section 34.02(c). SECTION 2. Emergency clause. Effective date: upon passage.