The Comptroller of Public Accounts proposes amendments to §9.419, concerning property tax exemption for certain leased motor vehicles. The proposed amendments implement statutory requirements as amended by House Bill 988, Section 6, 87th Legislature, 2021.

The proposed amendment to subsection (a)(4) allows the lessee's affidavit to be certified under oath or by a written, unsworn declaration.

In subsection (b)(1)(a) the comptroller proposes to adopt by reference an amended version of the Lessee's Affidavit Motor Vehicle Use Other than Production of Income (Form 50-285) to make updates and clarifications related to the lessee's address, statutory language and the legislative change from House Bill 988, Section 6. The proposed amended form may be viewed at comptroller.texas.gov/taxes/property-tax/rules.

In subsection (c), the comptroller proposes to amend the name of Form 50-285 to its current title.

In subsection (g), the comptroller proposes to amend the text to add a missing parenthesis.

Brad Reynolds, Chief Revenue Estimator, has determined that during the first five years that the proposed amendments are in effect, the amendments: will not create or eliminate a government program; will not require the creation or elimination of employee positions; will not require an increase or decrease in future legislative appropriations to the agency; will not require an increase or decrease in fees paid to the agency; will not increase or decrease the number of individuals subject to the rules' applicability; and will not positively or adversely affect this state's economy. This proposal amends current rules.

Mr. Reynolds also has determined that the proposed amendments would have no significant fiscal impact on the state government, units of local government, or individuals. The proposed amendments would benefit the public by conforming the rule to current statute. There would be no anticipated significant economic cost to the public. The proposed amendments would have no significant fiscal impact on small businesses or rural communities.

You may submit comments on the proposal to Shannon Murphy, Director, Property Tax Assistance Division, P.O. Box 13528 Austin, Texas 78711 or to the email address: ptad.rulecomments@cpa.texas.gov. The comptroller must receive your comments no later than 30 days from the date of publication of the proposal in the Texas Register.

These amendments are proposed under Tax Code, §11.252 (Motor Vehicles Leased for Use Other than Production of Income), which requires the comptroller to, by rule, establish exemption application requirements and appropriate procedures to determine whether a motor vehicle subject to a lease qualifies for an exemption under this section and to adopt a form to be completed by the lessee of a motor vehicle for which the owner of the vehicle may apply for an exemption under this section.

The comptroller further proposes the amendments under Tax Code, §22.24 (Rendition and Report Forms) which authorizes the comptroller to prescribe and approve forms for the rendition and reporting of property.

This rule implements Tax Code, §11.252 (Motor Vehicles Leased for Use Other than Production of Income).