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Tax Policy News Index - Current and Previous Years

2009

September 2009

Coin-Operated Amusement Machine Tax

• Renewal Applications Due by November 30

Franchise Tax

• Destination Management Services and Senate Bill 636

Insurance Tax

• Examination Expenses and Premium Tax Credits

Sales Tax

• Court Case: Reynolds Metals Company; Rolling Stock
• Hearing Summary: Asset Transfers to Affiliated Companies

Recently Proposed Rules

• Sports and Events Trust Fund (New Chapter)
• Hotel Occupancy Tax
• State Sales and Use Tax
• Motor Fuels Tax

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August 2009

Franchise Tax

• Management Companies

Hotel Tax

• Permanent Resident Exemption

Insurance Tax

• Certain Insurance Entities Excluded From the Texas Franchise Tax

Sales Tax

• Hearing Summary: Preliminary Art or Finished Art?
• Purchasing Offices: Your Place or Mine for Local Sales Tax Sourcing?

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July 2009 - Legislative Update

2009 Legislative Update

• 9-1-1 Emergency Service Fee
• Cigar and Tobacco Products Tax
• Franchise Tax
• Hotel Occupancy Tax - State Tax Allocations
• Insurance Tax
• Motor Fuels Tax
• Motor Vehicle Sales and Use Tax
• Natural Gas and Crude Oil Taxes
• Sales and Use Tax - General
• Sales and Use Tax - Local Tax
• Sales and Use Tax - Local Jurisdictions Authorized

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June 2009

Franchise Tax

• Apportioning Margin

Insurance Tax

• Texas Automobile Burglary and Theft Prevention Authority Assessment (ABTPA):
  Semi-Annual Payment is Due August 1
• Volunteer Fire Department Assistance Fund Assessment: Billings Are in the Mail This Month

Mixed Beverage Gross Receipts Tax

• Successor Liable for Seller's Tax Liability Incurred after Business was Sold

Sales Tax

• Boats and Personal Watercraft: No Exemption When Out-of-State Buyer Takes Possession in Texas
• Camps for Children
• Hearing Summary: Restaurant Grill Vent Hoods
• School Supplies Added to Sales Tax Holiday!

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May 2009

Franchise Tax

• Filing (or not) Using the Tiered Partnership Election

Hotel Occupancy Tax

• Permanent Resident Exemption

Insurance Tax

• COBRA Subsidy under the American Recovery and Reinvestment Act (ARRA) 2009: Is the Subsidy Portion Subject to Premium Tax?
• Court Case Decision - First American Title Insurance Co. v. Combs
• Multi-State Taxation of Surplus Lines Insurance Business

Sales Tax

• Energy Star Sales Tax Holiday
• Houston Wire and Cable Company: Cable Reels are Packaging Materials
• New Sales Tax Locator Now Available!
• Store Gift Cards and Gift Certificates
• Welding Rods

Recently Adopted Rules

• §3.588 Franchise Tax
• §3.641 Pari-Mutuel Wagering

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April 2009

Franchise Tax

• Filing Requirements for Passive Entities
• Reporting Tips for Combined Groups

Hotel Occupancy Tax

• Daily Resort Charge

Insurance Tax

• OPTins is Not an Option; WebFile is the Law

Sales Tax

• Blueprints and Reproduction Services Purchased by Architects, Engineers, Contractors and Government Entities
• "Caught in the Middle" - Contracts with Exempt Entities: Purchases of Taxable Services, Supplies and Rental Equipment by the "Middleman"
• Lab Analysis and Electrocardiograms

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March 2009

Franchise Tax

• Clarification on Sales Commissions Paid to Corporations
• Desk Audit Program
• Faxing Franchise Tax Reports
• Filing Form 05-169 E-Z Computation

Insurance Tax

• Third-Party Administrators

Motor Fuels Tax

• Liquefied Gas Tax - How is Tax Paid on Liquefied Gas?

Sales Tax

• Sales Tax Deductions on Federal Income Tax Returns
• Spam E-mail Filtering Service

Recently Proposed Rules

Pari-Mutuel Wagering
§3.641 - Pari-Mutuel Wagering

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February 2009

Franchise Tax

• Amended Reports
• An Entity's Federal Tax Treatment
• Combined Groups - Initial and Final Reports
• Passive Entities and Pass-Through Rental Income

Insurance Tax

• Certified Capital Company Tax Credits
• Premium Tax Due Date Extension

Mixed Beverage Gross Receipts Tax

• Bottle Service

Sales Tax

• Firearms Sold by Out-of-State Dealers: Transfer Fees Charged by Texas Dealers
• Home Stagers - Clarification
• Interstate Sales
• New GSA Smart Card
• Skybox and Suite Rentals
• Tax-Free Sales: It's a New Calendar Year

Recently Proposed Rules

• Cigar and Tobacco Products Tax
  §3.121 - Definitions, Imposition of Tax, Permits, and Reports

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January 2009

Franchise Tax

• Eight Rule Amendments Adopted

Insurance Tax

• After the Storm...the Next Step

Miscellaneous Tax

• 9-1-1 Wireless Service Fee and Prepaid Calling Service

Sales Tax

• Course of Instruction vs. Sale of Instructional Materials
• Internet Sales are Subject to Sales Tax - Buying and Selling Online
• Requirements Related to Public Health
• Subcontractors in Texas? You Have Nexus

Recently Adopted Rules

• Sales Tax
  §3.320 - Texas Emissions Reduction Plan Surcharge; Off-Road Heavy-Duty Diesel Equipment
• Motor Vehicle Sales Tax
  §3.96 - Imposition and Collection of a Surcharge on Certain Diesel Powered Motor Vehicles

2008

December 2008

General: Rules

• Agency Rules Review

Coin-Operated Amusement Machine Tax

• Due Dates, Fees and Penalties for Renewal Applications

Franchise Tax

• 2009 Forms and Instructions
• Disregarded Entities
• Sales Commissions Paid to Corporations

Insurance Tax

• After the Storm…

Sales Tax

• AirCheckTexas Program
• FEMA Elevation Certificate

Recently Adopted Rules

• Franchise Tax
  §3.583 Margin: Exemptions
  §3.584 Margin: Reports and Payments
  §3.585 Margin: Annual Report Extensions
  §3.587 Margin: Total Revenue
  §3.589 Margin: Compensation
  §3.590 Margin: Combined Reporting
  §3.592 Margin: Additional Tax
  §3.594 Margin: Temporary Credit for Business Loss Carryforwards

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November 2008

General: Electronic Reporting

• More Tax Types Required to File/Pay Electronically

Cigarette Tax: Cigars and Tobacco Products Tax

• Time to Renew Cigarette/Tobacco Non-Retailer Permits

Franchise Tax

• 2009 Tax Report Instructions
• Delinquent Notices

Insurance Tax

• Single Non-Profit Trusts

Sales Tax

• Attention Holiday Shoppers!
• Ready Mix Concrete Contractors — Taxability Guidance Now on STAR
• Shopping Abroad Can Mean Taxes in Texas
• There's No (Tax) Free Lunch for Employees of Exempt Organizations

Recently Proposed Rules

• Motor Vehicle Sales Tax
  §3.96 — Imposition and Collection of a Surcharge on Certain Diesel Powered Motor Vehicles
• Sales Tax
  §3.320 — Texas Emissions Reduction Plan Surcharge; Off-Road Heavy-Duty Diesel Equipment
• Franchise Tax
  §3.582 Margin: Passive Entities
  §3.583 Margin: Exemptions
  §3.584 Margin: Reports and Payments
  §3.585 Margin: Annual Report Extensions
  §3.587 Margin: Total Revenue
  §3.588 Margin: Cost of Goods Sold
  §3.589 Margin: Compensation
  §3.590 Margin: Combined Reporting
  §3.592 Margin: Additional Tax
  §3.594 Margin: Temporary Credit for Business Loss Carryforwards

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October 2008

Hurricane Ike Disaster Related Topics

• Diesel Fuel Tax
• Hotel Occupancy Tax
• Insurance Tax
• Sales Tax
• Disaster Information Resources

Franchise Tax

• Information Report Notices Being Mailed
• Internal Revenue Code
• Temporary Credit for Business Loss Carryforwards

Sales Tax

• Home Stagers
• Texas Emissions Reduction Plan Surcharge Expiration Date Extended on Certain Motor Vehicles and Equipment; Surcharge on Certain Leased or Rented Construction Equipment Reminder

Recently Adopted Rules

• Mixed Beverage Tax: §3.1001 - Mixed Beverage Gross Receipts Tax
• State Sales and Use Tax: §3.365 - Sales of Certain Items During a Three-day Period in Aug.

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September 2008

Administrative Rules

• Agency Rules Review

Coin-Operated Amusement Machine Tax

• Renewal Applications Due by December 1

Franchise Tax

• Tax Preparation Software

Insurance Tax

• Third-Party Administrators Maintenance Taxes and Fees

Sales Tax

• Gym Membership
• Skin Care Products Sold in a Doctor's Office
• Sunscreen — Don't Get Burned!

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August 2008

Franchise Tax

• Temporary Good Standing

Hotel Occupancy Tax

• Reporting Tax on Overbooked Hotel Rooms

Insurance Tax

• Independently Procured Insurance Tax - Who Must File?

Sales Tax

• Converter Box Coupon Taxability
• Discounts, Coupons, “Free” Meals and Rebates
• Effective Date for Ending the Telecommunications Infrastructure Fund (TIF) Assessment
• Park Model Homes
• Upgrade During Plant Shut Down

Recently Adopted Rules

• Fireworks Tax Rule - 3.1281 - Sale of Fireworks during a Three-Day Period in May

Recently Proposed Rules

• Mixed Beverage Tax Rule 3.1001 - Cover Charges for the Mixed Beverage Tax
• Sales Tax Rule 3.365 - Sales of Certain Items during a Three-Day Period in August

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July 2008

Business Tax Advisory Committee

• Next Meeting Scheduled

Franchise Tax

• Reports Filed Incorrectly as Separate Entity Reports
• Filing Extensions Correctly
• Clarification of Electronic Funds Transfer Requirements for Combined Groups
• Reminder about Computing Compensation and Cost of Goods Sold

Insurance Tax

• Surplus Lines Agent or Agency – Who is Responsible for the Tax?

Sales Tax

• Steel Mill Cooling Bed: Intraplant Transportation or Manufacturing Equipment?
• Motor Vehicle – Registration Triggers Taxation

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June 2008

Franchise Tax

• The Taxability of Trusts

Insurance Tax

• Texas Automobile Burglary and Theft Prevention Authority Assessment (ABTPA): Semi-Annual Payment is Due August 1

Mixed Beverage Gross Receipts Tax

• Taxability of a Corkage Fee for the Service of Alcoholic Beverages Not Sold by the Mixed Beverage Permittee

Sales Tax

• Detrimental Reliance Policy Revision
• Diplomatic Tax Exemption Cards
• Direct Payment Exemption Certificates: A Reminder for Sellers of Taxable Items
• Hearing Summary: Out-of-State Airplane Purchase - Use Tax and the One-Year Presumption

Recently Adopted Rules

• Insurance Tax: 3.833-Certified Capital Companies and Certified Investor Premium Tax Credits
• Sexually Oriented Business Fee: 3.722-Sexually Oriented Business Fee

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May 2008

Franchise Tax

• Electronic Funds Transfer (EFT) Requirements for Franchise Tax
• Health Care Providers/Institutions and Supplemental Insurance
• Revised Policy - Calculating the Cost of Uncompensated Care

Hotel Occupancy Tax

• Taxability of Charges for Smoking in a Room and for Replacing Stolen Items

Insurance Tax

• Volunteer Fire Department Assistance Fund Assessment - Bills are in the Mail this Month

Motor Fuels Tax

• Truth in Labeling Requirements

Reminder To Distributors And Wholesalers Who Make Sales Of Ale, Beer, Wine, Cigarettes, Cigars And Tobacco Products To Texas Retailers

• Consequences of Noncompliance

Sales Tax

• Catheters - Infusion versus Intravenous
• Down Mexico Way - Let Us Clarify a Few Things
• Fuel Surcharges
• Negotiating a Reduction of Sales Tax Due is Not Allowed
• Timber Exemption, Lumberjacks and Original Producers
• Manufacturing Exemptions - New Policy for Work Clothing and Food Processing

Recently Adopted Rules

• Motor Fuel Tax Rules - 3.438 Signed Statements for Purchasing Dyed Diesel Fuel Tax Free
• Motor Fuel Tax - Prior to January 1, 2004 Rules
• Sales Tax Rule - 3.291 Contractors

Recently Proposed Rules

• Fireworks Tax Rule - 3.1281 Fireworks Tax

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April 2008

Franchise Tax

• Additional Time to File Texas Franchise Tax Reports
• Business Tax Advisory Committee Members Named
• Election for Cost of Goods Sold or Compensation Deduction
• Reimbursement of Landlord Expenses

Insurance Tax

• Reminder of May 15 Tax Filing Due Date — Independently Procured Insurance

Motor Vehicle Sales Tax

• Standard Presumptive Value — Who Determines It?

Sales Tax

• Fireworks Sales Allowed for Cinco de Mayo Celebrations
• New Energy Star Sales Tax Holiday

Sexually Oriented Business Fee

• Sexually Oriented Business Fee Rulings

Recently Proposed Rules

• Motor Fuel Tax — Prior to January 1, 2004 Rules

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March 2008

Franchise Tax

• Annualized Revenue Requirements

Insurance Tax

• New Electronic Payment and Reporting Requirements for Premium Taxpayers
• Licensed Insurer Premium Tax - Automobile Insurance (fourth in a series of four articles)

Cigarette, Cigar, and Tobacco Products Taxes

• Time to Renew Tobacco Retailer Permits

Sales Tax

• Disaster Waivers and Statute of Limitations Calculations
• Down Mexico Way: Tax Not Due on Certain Resale and Export Transactions
• Hearing Summary: Repair of Pizza Preparation Table

STAR System

• Recent Enhancements

Recently Proposed Rules

• Motor Fuel Tax Rules: 3.438 - Signed Statements for Purchasing Dyed Diesel Fuel Tax Free

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February 2008

Franchise Tax

• Policy Revisions: Exclusions from Total Revenue
• Reporting for Nontaxable Entities

Insurance Tax

• Licensed Insurer Premium Tax - Workers' Compensation (third of a series of four articles)

Mixed Beverage Gross Receipts Tax

• Energy Drink Sold with a Shot of Alcohol

Motor Vehicle Sales Tax

• Carbon Offset Payment

Sales Tax

• Security Services
  • Cyber Vulnerability Testing
  • Lockout Service

Recently Adopted Rules

• General Rule 3.9 - Electronic Filing of Returns and Reports, Electronic Transfer of Certain Payments by Certain Taxpayers
• State Sales and Use Tax Rule 3.341 - Sales of Governmental Publications, Records, or Documents
• State Sales and Use Tax Rule 3.368 - Certified Public Accountant (CPA) Audit Program

Recently Proposed Rules

• Insurance Tax Rule 3.834 - Volunteer Fire Department Assistance Fund Assessment

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January 2008

Crude Oil and Natural Gas Production Tax

• Online Tutorial for the Crude Oil and Natural Gas Production Tax Reporting System

Franchise Tax

• Beginning Inventory: Rule 3.588 to be Amended
• Tiered Partnerships - Update
• 2008 Franchise Tax Reports

Insurance Tax

• Allocation of Premiums on Company-Owned Life Insurance Products
• Licensed Insurer Premium Tax - Property and Casualty (Second of a series of four articles)

Sales Tax

• Converter Box Coupon Taxability
• Reporting By Wholesalers and Distributors of Alcohol and Tobacco Sales to Retailers
• Sales and Use Tax on Lost, Stolen or Destroyed Items
• Taxability of Landman Services
• Third Party Consultants for Local Jurisdictions

Recently Proposed Rules

• 3.722 - Sexually Oriented Business Fee
• 3.9 - Electronic Filing of Returns and Reports, Electronic Transfer of Certain Payments by Certain Taxpayers

2007

December 2007

Franchise Tax

• Tiered Partnerships - Tax Treatment under the Revised Franchise Tax
• Revised Franchise Tax Rules Are Now Adopted

Insurance Tax

• Licensed Insurer Premium Tax - Property and Casualty (First of a series of four articles)

Sales Tax

• Power Washing and Cleaning Services on Certain Improvements to Realty
• Reporting By Wholesalers and Distributors of Alcohol and Tobacco Sales to Retailers

Sexually Oriented Business Fee

• Reminder of Effective Dates and Reporting Responsibilities for Affected Businesses

STAR Update

• Administrative Hearings are Being Added as Quickly as Possible

Recently Adopted Rules

• Motor Fuel Tax Rule 3.432 - Refunds on Gasoline and Diesel Fuel Tax

Recently Proposed Rules

• Insurance Tax Rule 3.833 - Certified Capital Companies and Certified Investor Premium Tax Credits

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November 2007

Franchise Tax

• Exemptions and the Revised Franchise Tax
• General Partnership Notification
• Temporary Credits for Combined Groups

Insurance Tax

• Third-Party Administrators and Workers' Compensation Maintenance Taxes and Fees

Mixed Beverage Gross Receipts Tax

• Sales Tax Due on Most Cover Charges

Sales Tax

• Allocation of Local Sales and Use Tax
• Audio Visual Equipment Used by Hotels
• Defining Scheduled and Periodic Maintenance during a Plant Turnaround
• Internet Tax Freedom Act Update
• The Occasional Sale Exemption - A Reminder to Sellers and Purchasers

Recently Proposed Rules

• State Sales and Use Tax

Recently Adopted Rules

• Cigar and Tobacco Products Tax
• Cigarette Tax
• Crude Oil Production Tax
• General Rules
• Insurance Tax
• Motor Fuel Tax
• Petroleum Product Delivery Fee
• State Sales and Use Tax

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October 2007

Coin-Operated Amusement Machine Tax

• Renewal Applications Due by November 30

Franchise Tax

• 2008 Annual Report Extensions under the Revised Franchise Tax
• Home Interiors Refund Claims
• Free Presentations on the New Margin Calculation

Insurance Tax

• Automobile Burglary and Theft Protection Authority Assessments

Sales Tax

• Timber Items

Severance Taxes

• Refund Request Tips for Crude Oil and Natural Gas Production Taxes

Recently Proposed Rules

• Cigar and Tobacco Products Tax
• Cigarette Tax
• Crude Oil Production Tax
• General Rules
• Insurance Tax
• Motor Fuel Tax
• State Sales and Use Tax

Recently Adopted Rules

• Cigarette and Tobacco Products Regulation

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September 2007

Cigarettes, Cigars and Tobacco Products Taxes

• Permits Cannot be Assigned or Transferred

Franchise Tax

• Temporary Credit for Business Loss Carryforwards

Insurance Tax

• Rural Volunteer Fire Department Assistance Fund

Motor Vehicle Sales Tax

• Salvage Vehicles: Not Taxed as Motor Vehicles
• Seller-Finance Dealers and Related Finance Companies

Sales Tax

• Septic Tank Cleaning and Repair: Residential and Non-Residential Systems

Recently Proposed Rules

• Franchise Tax
• Petroleum Product Delivery Fee

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August 2007

Franchise Tax

• Transitioning to the Margin Calculation

Hotel Occupancy Tax

• How to Search for Exempt Organizations Online

Insurance Tax

• The Texas Two-Step: Mergers of Licensed Insurance Companies

Sales Tax

• Water: Plain or Flavored Affects its Taxability
• Effective Date for Ending the Telecommunications Infrastructure Fund (TIF) Assessment
• Direct Sales Organizations and Their Independent Consultants

Tobacco Tax

• Reminder to Tobacco Retailers: New Tobacco Warning Notice Signs Must Be Posted

Recently Proposed Rules

• Cigarette and Tobacco Products Regulation: 3.1202 - Warning Notice Signs

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July 2007 - Legislative Update

• General Provisions (All Taxes)
• Cigarette Tax & the Cigars and Tobacco Products Tax
• Fireworks Tax
• Franchise Tax
• Hotel Tax - City Funding Program Changes
• Hotel Tax - Counties Authorized to Collect Hotel Tax
• Hotel Tax - State Allocations
• Insurance Premium, Maintenance & Retaliatory Taxes
• Miscellaneous Gross Receipts Tax
• Motor Fuels Taxes
• Motor Vehicle Sales & Use Tax
• Natural Gas and Crude Oil Taxes
• Petroleum Products Delivery Fee
• Radioactive Substances Fee
• Sales & Use Tax - General
• Sales & Use Tax - Local Jurisdictions Authorized
• Sales & Use Tax - New Local Tax Collection Requirements
• Sexually-Oriented Businesses Fee

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June 2007

Battery Sales Fee

• Golf Cart Dealer Liable for Battery Sales Fee on Batteries Installed and Sold

Franchise Tax

• Temporary Credit for Business Loss
• Transitioning to the Margin Calculation

Insurance Tax

• Exclusion from Taxable Premiums - Single Non-Profit Trusts

Sales Tax

• Traveling Salespersons, Itinerant Vendors and Temporary Places of Business
• Resale and Exemption Certificates: Good Faith Acceptance and Proper Completion

State Tax Automated Research System

• STAR Training Classes are Open to the Public

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May 2007

Cigarette Excise Tax

• Tax on Cigarettes Bought by Mail, Telephone or Online

Franchise Tax

• Revised Franchise Tax with Margin Calculation FAQs

Insurance Tax

• STP Nuclear Operating Company: Due Process, Equal Protection and the McCarran-Ferguson Act

Sales Tax

• Aircraft Purchases are under Review by the Audit Division
• Distinguishing Between an Exempt Organization as the Seller and the Agent for the Seller during Fundraising Sales
• Manufacturer or Contractor: Sales Tax and Exemption Provisions

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April 2007

Franchise Tax

• Update on the New Margin Calculation

Insurance Tax

• Reciprocal or Interinsurance Exchanges: What Are They? How Are They Taxed?

Motor Fuels Tax

• Reminder: Lists of Fuels Tax Licenses and Signed Statement Registration Numbers Are Available Online

Motor Vehicle Tax

• Vehicles Purchased for Church-Related Activities: Tax or No Tax

Sales Tax

• Calling Home: Prepaid Calling Cards and Prepaid Cell Phones
• Answer That Ringing Phone: Taxability of Downloaded Items to Cell Phones

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March 2007

Franchise Tax

• Update on HB 3 - the Revised Franchise Tax

Insurance Tax

• Reinsurance or Stop-Loss?

Local Hotel Tax

• Reminder: Comal County Water District Imposes 4 Percent Lodging Tax

Sales Tax

• Nexus in Texas - Soliciting at Trade Shows
• No Resale Exemption for "Freebies"

Recently Proposed Rules

• State Sales and Use Tax: 3.313 - Cable Television Service

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February 2007

Automotive Oil Sales Fee

• Fee Collected on First Sale of Automotive Oil

Franchise Tax

• Comptroller Disapproves of Franchise Tax Pass-Through

Insurance Tax

• Medicare Premiums - What's Taxable, What's Not?

Sales Tax

• Items Printed Out of State for Texas Use
• Off-Road, Heavy-Duty Diesel Equipment
• Strategic Partnerships and Local Tax
• Mowing the Lawn - a Seasonal Reminder
• The Proof is in the Package - Internet Purchases and Exports

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January 2007

Franchise Tax

• House Bill 3 Update: Temporary Credit Claims

Insurance Tax

• Non-Resident Surplus Lines Agent Tax Filings - Surplus Lines or Independently Procured?

Mixed Beverage Gross Receipts Tax

• Remember to Document All Complimentary Alcoholic Beverages

Sales Tax

• Sales of Tangible Personal Property at Auction for Delivery to Out-of-State Purchasers
• Application of the Sale for Resale Exemption to Materials Used to Sell Natural Gas

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