87R1225 BEF-D     By: King of Hemphill H.B. No. 433       A BILL TO BE ENTITLED   AN ACT   relating to imposing a tax on the generation of electricity by   certain electric generators; providing penalties; creating a   criminal offense.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subtitle E, Title 2, Tax Code, is amended by   adding Chapter 165 to read as follows:   CHAPTER 165. TAX ON GENERATION OF ELECTRICITY   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 165.001.  DEFINITIONS. In this chapter:                (1)  "Affiliated power generation company," "electric   utility," and "exempt wholesale generator" have the meanings   assigned by Section 31.002, Utilities Code.                (2)  "Electric cooperative" has the meaning assigned by   Section 11.003, Utilities Code.                (3)  "Electric generator" includes:                      (A)  an affiliated power generation company;                      (B)  an electric utility or electric cooperative   that owns or operates for compensation in this state equipment or   facilities to generate electricity in this state;                      (C)  an exempt wholesale generator; and                      (D)  a power generation company.                (4)  "Power generation company" has the meaning   assigned by Section 31.002, Utilities Code, except that the term   does not include a distributed natural gas generation facility, as   that term is defined by Section 31.002, Utilities Code.   SUBCHAPTER B. IMPOSITION AND COLLECTION OF TAX          Sec. 165.021.  TAX IMPOSED. A tax is imposed on each   electric generator in this state that generates electricity using   an energy source other than natural gas.          Sec. 165.022.  RATE OF TAX. The rate of the tax imposed by   this chapter is one cent for each kilowatt hour of electricity   generated using an energy source other than natural gas.          Sec. 165.023.  PAYMENT OF TAX. On or before the 25th day of   each month, each electric generator on whom a tax is imposed by this   chapter shall send to the comptroller the amount of tax due under   this chapter for the preceding month.          Sec. 165.024.  REPORTS. On or before the 25th day of each   month, each electric generator on whom a tax is imposed by this   chapter shall file with the comptroller a report stating:                (1)  the number of kilowatt hours of electricity   generated during the preceding month using an energy source other   than natural gas; and                (2)  any other information required by the comptroller.          Sec. 165.025.  RECORDS. A person on whom a tax is imposed by   this chapter shall keep a complete record of:                (1)  the number of kilowatt hours of electricity   generated during the preceding month using an energy source other   than natural gas; and                (2)  any other information required by the comptroller.   SUBCHAPTER C. PENALTIES AND OFFENSES          Sec. 165.051.  INTEREST ON DELINQUENT TAX. A tax imposed by   this chapter that is delinquent draws interest as provided by   Section 111.060.          Sec. 165.052.  PENALTY. (a) An electric generator on whom a   tax is imposed by this chapter and who fails to file a report as   required by this chapter or does not pay the tax when it is due   forfeits to the state a penalty of 12 percent of the amount of tax   that is delinquent.          (b)  If a report required by this chapter is not filed or a   tax imposed by this chapter is not paid on or before the 30th day   after the date it is due, the electric generator on whom the tax is   imposed forfeits to the state a penalty of an additional 12 percent   of the amount of tax that is delinquent.          (c)  The minimum penalty under this section is $1.          Sec. 165.053.  CRIMINAL PENALTY. (a) A person who violates   this chapter commits an offense.          (b)  An offense under this section is a Class C misdemeanor.   SUBCHAPTER D. ALLOCATION AND USE          Sec. 165.071.  ALLOCATION OF TAX REVENUE. The revenue from   the tax imposed by this chapter shall be deposited to the credit of   the foundation school fund.          SECTION 2.  This Act takes effect September 1, 2021.