Bill
Number: H.B. 2339
Lesko
Floor Amendment
Reference
to: APPROPRIATIONS Committee amendment
Amendment
drafted by: Fareed Bailey
FLOOR
AMENDMENT EXPLANATION
1. Provides a phased-in
implementation schedule for the bad debt deduction from TPT and use tax for
retail purchases made with a private label credit card.
2. Outlines the schedule
as follows:
a) 25 percent of the total
bad debt deduction starting July 1, 2018;
b) 50 percent of the total
bad debt deduction starting July 1, 2019;
c) 75 percent of the total
bad debt deduction starting July 1, 2020; and
d) 100 percent of the
total bad debt deduction starting July 1, 2021.
3. Makes technical
changes.
Fifty-third Legislature Lesko
First Regular Session H.B.
2339
LESKO FLOOR AMENDMENT
SENATE AMENDMENTS TO H.B.
2339
(Reference to
APPROPRIATIONS Committee amendment)
Page 25, between lines 29 and 30, insert:
"4. IN THE CASE OF PURCHASES
MADE WITH A PRIVATE LABEL CREDIT CARD THE BAD DEBT DEDUCTION AS COMPUTED BY
THIS SUBSECTION SHALL BE SUBJECT TO THE FOLLOWING LIMITS:
(a) FOR EACH
MONTH STARTING JULY 1, 2018 AND ENDING JUNE 30, 2019 THE RETAILER SHALL NOT
TAKE AS A DEDUCTION MORE THAN TWENTY-FIVE PERCENT OF THE TOTAL BAD DEBT
DEDUCTION AS COMPUTED PURSUANT TO THIS SUBSECTION.
(b) FOR EACH
MONTH STARTING JULY 1, 2019 AND ENDING JUNE 30, 2020 THE RETAILER SHALL NOT
TAKE AS A DEDUCTION MORE THAN FIFTY PERCENT OF THE TOTAL BAD DEBT DEDUCTION AS
COMPUTED PURSUANT TO THIS SUBSECTION.
(c) FOR EACH
MONTH STARTING JULY 1, 2020 AND ENDING JUNE 29, 2021 THE RETAILER SHALL NOT
TAKE AS A DEDUCTION MORE THAN SEVENTY-FIVE PERCENT OF THE TOTAL BAD DEBT
DEDUCTION AS COMPUTED PURSUANT TO THIS SUBSECTION.
(d) FROM AND
AFTER JUNE 30, 2021 THE RETAILER SHALL TAKE AS A DEDUCTION ONE HUNDRED PERCENT
OF THE TOTAL BAD DEBT DEDUCTION AS COMPUTED PURSUANT TO THIS SUBSECTION.
(e) UNLESS
OTHERWISE SPECIFIED, ANY AMOUNTS EXCEEDING THE LIMITS ALLOWED IN THIS PARAGRAPH
SHALL BE PERMANENTLY DISALLOWED."
Renumber to conform
Page 53, line 9, strike the second "or"
Line 10, strike "transferee of a person,"