HBA-JRA C.S.S.B. 779 76(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.S.B. 779
By: Madla
Ways & Means
5/10/1999
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Currently, Texas law does not allow the county tax assessor collector to
accept tax payments electronically.  C.S.S.B. 779 authorizes a collector to
accept payment by an electronic funds transfer and provides for the waiver
of penalties and interest on a delinquent tax form in certain
circumstances. 

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 Section 31.06(a), Tax Code, to authorize a county tax
assessor-collector (collector) to accept payment by an electronic funds
transfer.  Authorizes a collector and a person to enter into an agreement
under which the person pays taxes by electronic funds transfer.  Provides
that the agreement must be in writing, be signed by the collector and the
person, and specify the means or format of payment by electronic funds
transfer. 

SECTION 2.  Amends Section 33.011, Tax Code, by adding Subsection (h), as
follows: 

(h)  Requires the governing body of a taxing unit to waive penalties and
interest on a delinquent tax form if the tax is payable by electronic funds
transfer under an agreement entered into under Section 31.06(a) and the
taxpayer submits evidence sufficient to show that the taxpayer attempted to
pay the tax by electronic funds transfer in the proper manner before the
delinquency date, the taxpayer's failure to pay the tax before the
delinquency date was caused by an error in transmission of the funds, and
the tax was properly paid by the 21st day after the date the taxpayer knew
or should have known of the delinquency. 

SECTION 3.Emergency clause.
  Effective date: upon passage.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The substitute adds a new SECTION 2 which amends Section 33.011, Tax Code,
by adding Subsection (h), to require the governing body of a taxing unit to
waive penalties and interest on a delinquent tax form if the tax is payable
by electronic funds transfer under an agreement entered into under Section
31.06(a) and the taxpayer submits evidence sufficient to show that the
taxpayer attempted to pay the tax by electronic funds transfer in the
proper manner before the delinquency date, the taxpayer's failure to pay
the tax before the delinquency date was caused by an error in transmission
of the funds, and the tax was properly paid by the 21st day after the date
the taxpayer knew or should have known of the delinquency. 

The substitute redesignates SECTION 2 (emergency clause) of the original to
SECTION 3.