What proof did Texas require to refund vehicle use tax after Florida later imposed tax on the same vehicles?

Plain-English summary

Texas would refund the appropriate motor vehicle use tax after Florida later imposed legally due tax on the same vehicles, but only with complete proof.

The request needed documentation that Florida sales tax was legally due and paid, copies of receipts showing the historical Texas use tax payment, and a description of every vehicle involved.

The attached January 23 letter concerns separate containers under general sales and use tax. It required Florida proof, invoices, Texas accrual and payment details, reporting periods, and account number; that separate process is not presented here as a motor vehicle holding.

What this means for you

An other-state credit requires more than a later assessment. Preserve proof of legal liability, actual payment, Texas payment, and item-level identification.

Common questions

Q: Did Texas credit merely expected Florida tax?
A: No; it had to be legally due and paid.

Q: What vehicle records were required?
A: Texas tax receipts and a description of each vehicle.

Citations and references

The letters cite no numbered statute or rule. All printed rates and procedures are historical.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=MVT
• Opinion: https://star.comptroller.texas.gov/view/7901L2019E08

Original ruling text

ALERT: The tax rates cited in this article are no longer the current motor vehicle sales tax
or motor vehicle rental tax rates.

COMPTROLLER OF PUBLIC ACCOUNTS

STATE OF TEXAS

AUSTIN, TEXAS 78774

January 26, 1979

Dear ***:

A copy of your letter of December 5, 1978, has come to me for reply with regard to an impending request for a refund of Motor Vehicle Use Tax paid to Texas on motor vehicles purchased and delivered in Florida, taxed in Texas,and subsequently determined to be taxable by the State of Florida.

Texas gives credit against the 4% Motor Vehicle Use Tax assessed on a motor vehicle for any legally imposed sales or use tax the operator can demonstrate that he has paid on that vehicle to another state.

In order to obtain a refund of the Texas Motor Vehicle Use Tax on the facts you presented, it will be necessary to accompany your request with documentation that the Florida sales tax on these vehicles was determined to be legally due and has been paid. Copies of the tax receipts demonstrating that the 4% Motor Vehicle Use Tax was paid to Texas on these vehicles should also be included, together with a description of each vehicle involved. Your request should be sent to the attention of *** of the Motor Vehicle, Sales Tax Division. Upon receipt of the proper documentation, your refund request will be processed, and the appropriate refund granted.

If you have any questions you may write the Motor Vehicle Sales Tax Division or call 512/475-6897.

Yours very truly,

Patricia Brockway

Division Attorney

Motor Vehicle Sales Tax Division

January 23, 1979

Dear ***:

This acknowledges receipt of your letter of December 5, 1978, regarding a refund of Use Tax paid to Texas on containers purchased and picked up in Florida and subsequently taxed by the State of Florida.

Texas will allow credit against Use Tax due up to the amount of a like tax legally due and paid to another State. Texas Use Tax would be due on the difference in the tax rates.

To receive a refund of the Texas Use Tax, you will need to provide documentation that the Florida tax was due and paid, copies of the invoices on which you accrued Texas Use Tax, the amount of Use Tax Purchases reported to Texas, the amount of tax remitted and the re-

porting period(s) in which the tax was remitted. Also provide the account number under which the tax was remitted. Upon receipt of proper documentation, and amended return(s) can be processed for the appropriate reporting period(s) to establish a credit in your Sales and Use Tax account. The credit can then be refunded to you or can be used against future Sales and Use Tax due.

A copy of your letter is being forwarded to our Motor Vehicle Division regarding the Motor Vehicle Sales Tax on the trailers.

Please direct your correspondence in this matter to the attention of the Sales Tax Division, or call 512/475-3825.

Yours very truly,

(Mrs.) Jo Ann Dieck

Sales Tax Division

This opinion is rendered based upon the facts as presented. Other facts, though similar to those presented, may yield different results.