Ezel / Tax Rulings / TX
TX 200207229L Motor Vehicle Tax 2002-07-08

Is a trailer-mounted nurse tank exempt from Texas motor vehicle tax when it is used primarily for controlled burning to improve cattle grazing?

Short answer: Yes. Because the tank was mounted on a trailer and would be used primarily for controlled burning to enhance grass production for cattle, the Comptroller treated it as an exempt farm trailer. The buyer could claim the exemption on Form 130-U.

Apply this to your situation

This page answers the general question as of 2002. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 2002
Subsequent statutory amendments, regulation changes, court decisions, or later rulings may have changed the analysis. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, rate, or position mentioned here.
Disclaimer: This is an official Texas Comptroller letter issued on the specific facts presented. Any detrimental-reliance protection would be limited to the taxpayer to whom the letter was directly issued; unrelated taxpayers cannot treat it as binding protection. The letter dates from 2002 and may no longer reflect current law, forms, or policy. Taxpayer-identifying details are redacted. This summary is informational only and is not legal or tax advice. Consult a licensed Texas tax professional about your specific situation.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official state tax ruling. The original ruling (linked on this page) is the authoritative source for any reliance.

Plain-English summary

The Texas Comptroller concluded that a trailer-mounted nurse tank qualified for the motor vehicle tax exemption for a farm trailer.

The farm and ranch operator planned to use the tank in controlled burning to enhance grass production for cattle. Because the tank was sold mounted on a trailer and would be used primarily for that ranching purpose, its purchase was exempt. The operator could claim the exemption on Form 130-U, the application for Texas title and motor vehicle tax statement.

What this means for you

Farmers and ranchers

The equipment's primary use mattered. This letter treated controlled burning to improve cattle forage as a qualifying ranching use for the trailer-mounted tank.

Equipment sellers and tax professionals

The ruling analyzed the combined unit as a motor vehicle with a tank attachment, then applied the farm-trailer exemption. Verify the current exemption and title-application requirements before using this 2002 guidance.

Common questions

Q: Was the tank itself enough to create the exemption?

A: The letter focused on the tank being mounted on a trailer and used primarily for the stated farming and ranching purpose.

Q: How did the buyer claim the exemption?

A: The Comptroller directed the buyer to claim it on Form 130-U.

Citations and references

  • The letter cites the motor vehicle tax farm-trailer exemption without giving a section number.

Source

Original ruling text

July 8, 2002

To: **

Subject: Nurse Tank

Dear **:

Thank you for your taxability inquiry regarding your company's purchase of a
nurse tank.

Yours is a farm and ranch operation. You will purchase a nurse tank to be used
in controlled burning to enhance grass production for cattle.

In researching information on nurse tanks, it appears the tanks are sold
mounted on trailers (motor vehicles). As such, the sale of the mounted nurse
tank is the sale of a motor vehicle with an attachment (the tank). The motor
vehicle tax statute provides an exemption from motor vehicle tax on the sale of
a farm trailer that is used primarily for farming and ranching. Therefore, if
you are purchasing this item to be used primarily in the controlled burning to
enhance grass production for cattle, your purchase is exempt. You may claim
the exemption on Form 130-U (the Application for Texas Certificate of
Title/Motor Vehicle Tax Statement).

This opinion is based on the information presented. If there are additional or
different facts, the opinion could change.

If you have any questions, please do not hesitate to call me toll free at
1-800-531-5441, extension 34663. The direct number is 512/463-4663. The
e-mail address is .

Sincerely,

Joan Hale
Tax Policy Division

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