1978-09-06 Regular Meeting - Laserfiche WebLink

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0 H(O FROM THE STATE COMPTROLLER TO TEXAS CITIES: SEPTEMBER 10, 1978, AND MAY 1, 19799 ARE DATES OF EXTREME IMPORTANCE TO TEXAS CITIES. The 65th Legislature, 1st Called Session, has enacted Legislation exempting residential use of gas and electricity from the 4% State Sales Tax and providing a local option on the 1% City Sales Tax. The exemption covers "residential use", meaning use in a family dwelling, a multi -family apartment, a housing complex or building or portion of a building occupied as a home or residence. The residential use exemption from the 4% State Sales Tax becomes effective on October 1, 1978. The residential use exemption from 1% City Sales Tax becomes effective on October 1, 1979, UNLESS THE CITY TAKES ACTION AS DESCRIBED BELOW: • TO REPEAL THE TAX BY SEPTEMBER 10, 1978. A city, by majority vote of its governing body, may vote to exempt residential use of gas and electricity from the 1% City Sales Tax effective October 1, 1978-- the same date the State Tax exemption becomes effective. Notification of the city's intent to exempt gas and electricty from the 1% Tax effective October 1, 1978, must be received by the Comptroller of Public Accounts by registered or certified mail postmarked no later than September 10, 1978. w • TO KEEP THE TAX BY MAY 1, 1979. A city, by majority vote of its governing body, may adopt an ordinance continuing the imposition of the 1% City Sales Tax on residential use of gas and electricity. A copy of the ordinance must be received by the Comptroller of Public Accounts by registered or certified mail no later than May 1, 1979. (The 1% City Sales Tax on residential use of gas and electricity will be automatically abolished effective October 1, 1979, unless an ordinance is received from a city continuing the tax.) • OTHER CITY OPTIONS At any time prior to October 1, 1979, a city, by majority vote of its governing body, may exempt residential use of gas and electricity from the 1% City Tax. One full calendar quarter shall elapse prior to the effective date of the exemption following notification of the Comptroller. For Example: If notification is received by the Comptroller between September 11, 1978 and September 30, 1978, the exemption will become effective on January 1, 1979. If notification is received by the Comptroller between October 1,1978 and December.31, 1978, the exemption will become effective on April 1, 1979.