HB 1300

85(R) - 2017
House Ways & Means
House Ways & Means
Local Government

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral


Drew Springer

Bill Caption

Relating to the collection and use of municipal hotel occupancy taxes.

Fiscal Notes

No fiscal implication to the State is anticipated.

Bill Analysis

Under current law, a municipality that imposes a hotel occupancy tax may permit the person required to collect and pay over the tax to keep up to one percent of the tax for the purposes of covering the costs of tax collection. In addition, the municipality may spend up to one percent of the tax to create, maintain, and operate an electronic tax administration system.

HB 1300 would cap municipal spending on electronic tax administration to $75,000. In addition, a municipality that implements an electronic system would be able to permit the person collecting and paying the tax to keep one percent to cover the costs of electronic administration. Finally, a municipality would be prohibited from using revenue designated for a tax administration system to conduct an audit.

Vote Recommendation Notes

Changing the terms under which the hotel occupancy tax is collected and turned over has no affect on our liberty principles and we remain neutral. However, we do recommend eliminating these market-distorting taxes which enable government intervention in the economy in a way that we do not believe is consistent with the principles of limited government. 

Organizations Supporting

Centerpoint Energy 
Texas Hotel and Lodging Association  

Organizations Opposed

City of El Paso
City of Fort Worth