Bill Caption

Relating to suits for tax refunds.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

Under current law, a taxpayer filing a claim for a tax refund must go through a number of steps after the refund is denied before being able to file suit to have the issue adjudicated by a court. The current process requires a taxpayer to first request a refund hearing, complete the hearing process at the State Office of Administrative Hearings, and file a motion for rehearing before filing suit.

SB 903 would create a process to bypass these administrative hurdles by allowing a taxpayer to file a notice of intent to bypass the hearing. The comptroller would be allowed to first require a conference between the person and the comptroller's designee. After the conference, or if notice of a required conference is not timely provided by the comptroller, a taxpayer would be allowed to proceed with filing suit. 

Vote Recommendation Notes

Texas Action supports SB 903 because it empowers the limited government and individual liberty principles. This bill would reduce needless red tape and give taxpayers more direct access to the courts, providing a speedier adjudication of their claims.