The bill proposes the creation of a new offense related to the fraudulent use, possession, or tampering with gift cards, their packaging, or associated data and redemption information. It introduces Section 32.56 to Subchapter D, Chapter 32 of the Penal Code, defining key terms such as "cardholder," "card issuer," "counterfeit gift card," and "gift card redemption information." The bill outlines specific actions that constitute an offense, including acquiring or retaining possession of a gift card without consent, tampering with gift cards or their packaging, and using counterfeit gift cards to obtain goods or services.

The legislation establishes a tiered penalty system based on the number of counterfeit or unactivated gift cards involved, ranging from a state jail felony for fewer than five cards to a first-degree felony for 50 or more. Additionally, it includes a rebuttable presumption that possession of three or more gift cards is without consent, while exempting businesses or governmental agencies engaged in lawful activities. The bill is set to take effect on September 1, 2025.

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