taxes

Tax Policy News

October 2014

The Comptroller's office publishes this online newsletter to keep you informed about Texas taxes and what is happening in the Tax Policy Division. Tax Policy News provides general information and is not a substitute for legal or other professional advice.

In This Issue...

Roundtable Discussion – Date Changed

Franchise Tax – Qualified Courier and Logistics Companies

The Sept. 30 Franchise Tax roundtable discussion on qualified courier and logistic companies has been rescheduled for Oct. 7 at 2 p.m.

Registration closes Oct 2.

Hearing on a Proposed Rule

Rule 3.334 – Local Sales and Use Taxes

The Comptroller received written comments from the public on proposed changes to Rule 3.334, Local Sales and Use Taxes, when it was published in the May 30, 2014, Texas Register.

In order to address the comments, the Comptroller will hold a hearing to take public comments on the proposed rule on Wednesday, Oct. 15, 2014, from 9 a.m. until 3 p.m., in Room 1.111 of the William B. Travis Building in Austin.

Interested persons may sign up to testify beginning at 8:30 a.m., and testimony will be heard on a first-come, first-served basis.

A Notice of Hearing was published in the Sept. 26, 2014, issue of the Texas Register.

Reminder

Hotel Occupancy Tax

With the many sporting and entertainment events around the state happening this fall, many homeowners and leasing companies rent their homes and properties to people attending these events.

Remember, Hotel Tax is due on these temporary rentals.

Sales Tax

Cable Television, Internet Access or Telecommunications Services Providers – Sales Tax Refund Requests

The August 2014 issue of this newsletter explained that providers and their subsidiaries could claim a refund by Sept. 2, 2014, for state sales and use taxes paid on qualifying purchases from Sept. 1, 2013, through Dec. 31, 2013.

The Comptroller did not receive eligible requests totaling $50 million, so late-filed refund requests are being accepted and processed on a first-come, first-served basis. See Sales Tax Refund for Providers of Cable Television, Internet Access or Telecommunications Services for more information.

Public Outreach

Presentations by the Tax Policy Division

Members of the Tax Policy Division often receive requests to discuss taxability issues with various interested organizations.

Recent events include the following:

  • Participating in the Comptroller's annual "Briefing with the Texas Comptroller of Public Accounts" for members of the Taxation Section of the State Bar, the Texas Society of Certified Public Accountants and the Tax Executives Institute. Topics included updates on pending rule amendments, the letter ruling process, guidance on resolving audits at the field level and updates on electronic reporting and payment processes.
  • A presentation at the Comal County Tax Assessor-Collector's office Dealer Days in New Braunfels, Texas, about motor vehicle sales and use tax collection, seller-finance responsibilities and recordkeeping requirements.
  • A presentation at the Texas Electrical Cooperative in Georgetown, Texas, featuring information on sales and use tax on equipment, sales and services, and about available tax exemptions.
  • A presentation to the Hays County Tax Assessor-Collector in San Marcos, Texas, about motor vehicle taxability issues.

Forms

Crude Oil Production Tax

The Comptroller updated the Texas Crude Oil Lease Exemption Application (Form AP-216) to add a section for the exemption for enhanced oil recovery projects using anthropogenic carbon dioxide.

Publications

Motor Vehicle Sales and Use Tax

The Comptroller revised the Motor Vehicle Sales, Use and Rental Tax (Pub. 96-116) to clarify information on legislative changes to due dates, gift tax procedures and agricultural and timber exemptions.

Sales and Use Tax

The Comptroller created a new publication explaining when Texas use tax is due on all-terrain and off-road vehicles purchased outside Texas for use here.

Website Updates

Insurance Tax

The Comptroller revised the Insurance Taxes Frequently Asked Questions Web page to provide new and updated information relating to a variety of insurance topics.

Sales Tax

The Comptroller updated the Sales Tax Refund for Providers of Cable Television, Internet Access or Telecommunications Services Web page to clarify information related to the refund request date and late-filed claims.

Rules

Proposed Rules

State Sales and Use Tax

The Comptroller proposed amendments to the following rule for public comment on Sept. 5, 2014. The comment period ends Oct. 5, 2014.

Rule 3.335 – Property Used in a Qualifying Data Center; Temporary State Sales Tax Exemption

Information about proposed rules is available from the Texas Secretary of State.

Effective Rules

Motor Vehicle Sales Tax

Effective Sept. 2, 2014

Rule 3.68 - United States and Foreign Military Personnel Stationed in Texas

State and Local Sales and Use Taxes

Effective Sept. 1, 2014

Rule 3.345 - Annual Refund Program for Providers of Cable Television, Internet Access, or Telecommunications Services