You must report and pay state and local sales and use tax before you can apply for a refund. The law provides for a refund of taxes paid on qualifying items, not a credit. The law also requires payment of the tax and not merely an accrual.
The refund applies only to Texas state tax. Local tax will not be refunded.
Interest will not be paid on the refunds, because the tax being refunded is not tax paid in error.
A subsidiary of a provider is a subsidiary for which a cable television provider, internet access provider, or telecommunications provider is the parent.
A qualifying purchase is tangible personal property:
The refund available to providers or their subsidiaries for qualifying purchases is based on the sales price. The sales price is the total amount for which tangible personal property is sold, leased, or rented, valued in money, which includes:
Services that are part of the purchase and any credit the seller gives to the provider or its subsidiaries are also included in the qualifying purchase price.
The qualifying purchase price does not include any of the following if separately stated:
The refund does not apply to purchases invoiced before Sept. 1, 2013, regardless of when the tax was paid.
Any tax liability accruing before the effective date is covered by the former law, which did not provide for the $50 million refund. To be eligible for the refund, a qualifying purchase must be invoiced on or after Sept. 1, 2013, thus creating a tax liability after the effective date.
For a qualifying purchase invoiced at the end of one calendar year, with the tax paid in the following calendar year, the refund request should be submitted for the calendar year when the tax was paid.
In your situation, because the tax was paid in 2016, the purchase should be included in the refund claim covering 2016 purchases.