HBA-EDN H.B. 3273 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3273
By: Oliveira
Ways & Means
3/22/2001
Introduced



BACKGROUND AND PURPOSE 

The 76th Legislature approved a "sales tax holiday" for clothing and
footwear priced under $100 purchased during the first weekend in August.
According to the Comptroller's office, Texans saved more than $30 million
during each of these weekends in 1999 and 2000.  House Bill 3273 provides
that certain writing instruments are also exempt when purchased during the
August sales tax exemption period. 

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. 

ANALYSIS

House Bill 3273 amends the Tax Code to provide that certain writing
instruments are exempt from limited sales, excise, and use taxes if the
sale of the item takes place during the period beginning at 12:01 a.m. on
the first Friday in August and ending at midnight on the following Sunday
and only applies if the sales price of the item is less than $5. 

EFFECTIVE DATE

July 1, 2001, or if the Act does not receive the necessary vote, the Act
takes effect October 1, 2001.