HB 452

relating to a sales and use tax refund for certain small businesses.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter I, Chapter 151, Tax Code, is amended
by adding Section 151.4306 to read as follows:
Sec. 151.4306.  TAX REFUNDS FOR CERTAIN SMALL BUSINESSES
(a)  This section applies only to small businesses as defined by
Section 481.401(10), Government Code, and a person who files a
rendition statement under Section 22.01, Tax Code.
(b)  Notwithstanding Section 111.104(b), a person who is
subject to taxation of income-producing tangible personal property
is entitled to an annual refund for taxes paid under this chapter
equal to the amount of ad valorem tax paid on income-producing
tangible personal property in the previous tax year.
(c)  A refund under this section shall not exceed the amount
of taxes paid under this chapter.
(d)  The comptroller by rule may provide additional
procedures for claiming a refund under this section.
SECTION 2.  This Act applies only to ad valorem taxes imposed
for a tax year that begins on or after the effective date of this
SECTION 3.  This Act takes effect January 1, 2026.