Tex.
Spec. Dist. Local Laws Code Section 3846.264
Development Zone Sales and Use Tax
(a)
If approved at an election by a majority of the voters in the development zone voting in an election held for that purpose, the governing body may adopt or repeal a sales and use tax of not more than two percent less the amount of the sales and use tax approved by the district voters under Section 3846.151 (Sales and Use Tax; Excise Tax).(b)
An election on the adoption or repeal of the maximum rate of sales and use tax may be held by the governing body as provided by Section 3846.152 (Tax Election Procedures) as applied to a development zone.(c)
An election to adopt the sales and use tax authorized by this section may be held in conjunction with the confirmation election described by Section 3846.257 (Confirmation Election Required).(d)
After adoption at an election, the governing body may impose any portion of the sales and use tax, in increments of not less than one-eighth of one percent, for the benefit of the zone, by order of the governing body.(e)
The sales and use tax is in addition to the limited sales and use tax authorized and imposed by the district under Section 3846.151 (Sales and Use Tax; Excise Tax).(f)
If a political subdivision, including a municipality, imposes a sales and use tax in the development zone, the sales and use tax authorized by this section is reduced as of the date the development zone authorized the sales and use tax so that the combined total of all local sales and use taxes imposed in the development zone does not exceed two percent.(g)
The sales and use tax becomes effective on the first day of the calendar quarter following the date the comptroller receives written notice of the imposition of the tax.
Source:
Section 3846.264 — Development Zone Sales and Use Tax, https://statutes.capitol.texas.gov/Docs/SD/htm/SD.3846.htm#3846.264 (accessed Jun. 5, 2024).
