NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.





F I S C A L I M P A C T R E P O R T





SPONSOR   Cisneros           DATE TYPED 03/05/99 HB           



SHORT TITLE SALES COMMISSIONS GROSS RECEIPTS         SB  68/aSFC    

ANALYST  Eaton       



REVENUE



   Estimated Revenue    Subsequent Recurring Fund

FY99 FY2000 Years Impact or Non-Rec Affected



$    .  $ (3100.0) $    .   Recurring         General    



(Parenthesis ( ) Indicate Revenue Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



Taxation and Revenue Department (TRD)



SUMMARY



Synopsis of SFC Amendment:



This amendment in effect clarifies language of the original bill by replacing the "independent contractor" definition with "the owner of a dealer store". A new section defines a "dealer store" as "a merchandise facility open to the public that is owned and operated by a person who contracts with a principal to act as an agent for the sale from that facility of merchandise owned by the principal."



Synopsis of Bill:



This bill would exempt payment of gross receipts by [independent contractors] the owner of a dealer store for commissions received for performing service and the sale of tangible property.



FISCAL IMPLICATIONS



The Taxation and Revenue Department Reports this bill will have a negative impact on the general fund. The impact is estimated to be $3.1 million (recurring).



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