| (a) Definitions. The following words and terms, when
used in this section, shall have the following meanings, unless the
context clearly indicates otherwise.
(1) Coin-operated amusement machine--Any kind of machine
or device operated by or with a coin or other United States currency,
metal slug, token, electronic card, or check, that vends or dispenses
music or is operated for skill or pleasure. The term does not include
an amusement machine designed exclusively for children under 12 years
of age.
(2) General business license holder--A person who may
engage in the business of manufacturing, owning, buying, selling,
renting, leasing, trading, maintaining, transporting, or exhibiting
in Texas, or storing a coin-operated amusement machine.
(3) Import license holder--A person who may engage
in the business of importing, transporting, owning, buying, repairing,
selling, or delivering a coin-operated amusement machine for sale
or delivery in this state.
(4) Person--An individual, association, trustee, receiver,
partnership, corporation, or other organization or legal entity, or
a manager, agent, servant, or employee of an individual, association,
trustee, receiver, partnership, corporation, or other organization
or legal entity.
(5) Registration certificate holder--A person who is
exempt from the licensing and recordkeeping requirements in Occupations
Code, Chapter 2153 (Coin-Operated Machines) but who may not exhibit
a coin-operated amusement machine unless the machine is registered
annually with the comptroller.
(6) Repair license holder--A person who may engage
in the business of maintaining, transporting, or storing a coin-operated
amusement machine.
(7) Tax permit--The decal issued by the comptroller
to an owner of a coin-operated amusement machine evidencing the payment
of the occupation tax.
(b) Licenses and registration certificates.
(1) Annual general business, import, and/or repair
license fees, and registration certificate fees. Annual license and
registration certificate fees for a general business license holder,
import license holder, repair license holder, and a registration certificate
holder are payable in advance and cannot be prorated. The annual fees
are as follows:
(A) for a general business license applicant with 50
or fewer machines, the fee is $200;
(B) for a general business license applicant with 51
to 200 machines, the fee is $400;
(C) for a general business license applicant with over
200 machines, the fee is $500;
(D) for an import license applicant, the fee is $500;
(E) for a repair license applicant, the fee is $50;
and
(F) for a registration certificate applicant, the fee
is $150.
(2) Age requirement for issuance of a license or registration
certificate. No individual shall be issued a license or registration
certificate by the comptroller for the operation of coin-operated
amusement machines unless at the time the license or certificate is
issued the applicant is 18 years of age or older.
(3) Information requirement for issuance of a license
or registration certificate. An applicant for a license or registration
certificate must provide all information required on the comptroller's
application before a license or registration certificate will be issued
or renewed.
(4) General business license and registration certificate
notification requirement. A general business license holder must notify
the comptroller in writing within 10 days of any change in ownership
of a coin-operated amusement machine. A registration certificate holder
must notify the comptroller in writing of any change in ownership
of a coin-operated amusement machine and each time the location of
a machine is changed within 10 days of the change.
(5) Occasional sale exemption for registration certificate
holder. A registration certificate holder may make two sales of coin-operated
amusement machines during any 12-month period without being required
to obtain a general business or import license, if the certificate
holder does not hold out as engaging (or does not habitually engage)
in the business of selling coin-operated amusement machines. Before
the third sale of a coin-operated amusement machine in a 12-month
period by a registration certificate holder not previously in the
business of selling, leasing, or renting coin-operated amusement machines,
a general business or import license must be obtained. The transfer
of title or possession of more than one machine in a single transaction
will constitute one sale.
(c) Annual general business, import, and repair license
renewals.
(1) License renewal applications are due November 30.
License renewal applications will not be considered complete for processing
unless the tax due and the license fee are remitted. Complete license
renewal applications filed after the due date may result in the renewal
license being issued after December 31, the expiration date of the
existing license. In such a case a person may not operate coin-operated
amusement machines after the expiration date until the renewal license
is issued. A person who operates coin-operated amusement machines
without a license or with an expired license is guilty of a Class
A misdemeanor.
(2) An applicant who properly completes the license
renewal application and remits all fees and taxes with it by the due
date may continue to exhibit or display coin-operated amusement machines
after the expiration date if the applicant's license renewal has not
been issued unless the applicant is notified by the comptroller prior
to the license expiration date of a problem with the license renewal.
(3) The annual license fee must be submitted with a
license renewal application. License fees may not be prorated.
(4) Late-filed application for license renewal. If
an application for renewal of an unexpired license is postmarked December
1 - December 31, the applicant must remit a late fee of $50 in addition
to the annual license fee listed in subsection (b)(1) of this section.
(5) Application for renewal of an expired license.
(A) A license holder may renew an expired license if
it has not been expired for more than 90 days by paying to the comptroller
a fee that is 1-1/2 times the amount of the annual license fee listed
in subsection (b)(1) of this section.
(B) A license holder may renew an expired license if
it has been expired for more than 90 days but less than two years
by paying to the comptroller a fee that is two times the amount of
the annual license fee listed in subsection (b)(1) of this section.
(C) A person whose license has been expired for two
years or more may not renew their license and must comply with the
requirements and procedures for obtaining a new license under subsection
(b) of this section. In addition to other penalties allowed by law,
each person whose license has been expired for two years or more and
who has been engaged in business as a general business license holder,
import license holder, or repair license holder must remit to the
comptroller an amount equal to two times the amount of the annual
license fee listed in subsection (b)(1) of this section for each year
that the person engaged in business with an expired license.
(d) Annual registration certificate renewals.
(1) Registration certificate renewal applications are
due November 30. Registration certificate renewal applications will
not be processed unless the tax due and the registration fee are remitted.
Registration certificate renewal applications filed after the due
date may result in the renewal registration certificate being issued
after December 31, the expiration date of the existing registration
certificate. In such a case, a person may not exhibit or display coin-operated
amusement machines after the expiration date until the renewal certificate
is issued. A person who exhibits or displays coin-operated amusement
machines without a registration certificate or with an expired registration
certificate is guilty of a Class A misdemeanor.
(2) An applicant who properly completes the registration
certificate renewal application and remits all fees and taxes with
it by the due date may continue to exhibit or display coin-operated
amusement machines after the expiration date even if the registration
certificate renewal has not been issued, unless the applicant is notified
by the comptroller prior to the registration certificate expiration
date of a problem with the registration certificate renewal.
(3) Registration certificate fees may not be prorated
and the registration fee must be submitted with the registration certificate
renewal application.
(4) Late-filed application for registration certificate
renewal. If an application for renewal of an unexpired registration
certificate is postmarked December 1 - December 31, the applicant
must remit a late fee of $50 in addition to the annual registration
certificate fee listed in subsection (b)(1) of this section.
Cont'd... |
