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.