On March 19, 2020, the Texas Third Court of Appeals, issued its opinion in Hegar et al. v. J.D. Fields & Company, Inc., Tex. Ct. App. (3rd Dist.), No.03-19-00351-CV, 03/19/2020). The court ruled that a taxpayer’s sales tax protest is not barred by sovereign immunity. The taxpayer, J.D. Fields & Company, Inc. (hereinafter “Taxpayer”) in this matter is a pipe …
Beginning on March 1, 2020, a taxpayer who has purchased an off-highway vehicle (“OHV”) outside of Texas must provide proof that they paid Texas use tax on the vehicle when registering it with their local county tax assessor. The Texas Comptroller of Public Accounts (“Comptroller”) has stated that affected taxpayers should use Form 01-163 Texas Use Tax Return – For …
Businesses that make their products or services available for sale in Texas can unwittingly be held liable for Texas sales or use tax. This means that anyone—a business or an individual—offering products or services for sale in the state of Texas, whether online, in their living room, or through brick-and-mortar stores, is generally responsible for collecting sales tax from their …
In the December 20, 2019, issue of the Texas Register (44 TexReg 8021), the Texas Comptroller of Public Accounts (“Comptroller”) announced that it was adopting proposed amendments[1] to the “nexus” section of 34 TAC §3.586. The proposed amendments establish rules in which a non-Texas entity can create “nexus” with Texas without having a physical presence in the state. The effective …
Former Supreme Court Justice Hugo Black once said, “The United States has a system of taxation by confession.” That statement is true at the federal level as well as the state level. In fact, the Texas government relies on its citizens to “confess” their franchise tax, sales and use tax, and other tax obligations through required reports and payments. However, …
