Ezel / Tax Rulings / TX
TX 8408L0585E06 Sales and/or Use Tax (State,Local,MTA) 1984-08-31

Did Texas tax horse-racetrack and horse-show admission fees beginning October 2, 1984?

Short answer: Yes. State and local sales tax applied beginning October 2, 1984, unless the event was sponsored by a nonprofit or charitable group or under governmental sponsorship. Providers needed a sales-tax permit and could report admission tax with other sales taxes.

Apply this to your situation

This page answers the general question as of 1984. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1984
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 general August 1984 Texas Comptroller guidance published on STAR, not a taxpayer-specific private letter ruling. It does not carry reliance protection under Rules 3.1 and 3.10, does not identify the legislative act, and may not reflect current law. This summary is informational only and is not legal or tax advice.
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

Beginning October 2, horse-racetrack and horse-show admissions were subject to state and local sales tax. Nonprofit, charitable, and government-sponsored events were excepted. Providers needed permits and could report admission tax with concession and other sales taxes.

What this means for you

The historical collection duty depended on the event and its sponsorship.

Common questions

Q: Were horse-event admissions covered? A: Yes.

Q: What sponsorships were excepted? A: Nonprofit, charitable, and governmental sponsorships.

Citations and references

The guidance does not identify the legislative act.

Source

Original ruling text

August 31, 1984

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Dear

Effective October 2, admission charges to recreational events come under the
state and local sales tax. This includes admission fees to horse race tracks
and horse shows.

This is a result of an act by the Texas Legislature.

You must collect the tax unless events are sponsored by nonprofit or charitable
groups or run under the sponsorship of a governmental entity.

If you do not have a sales tax permit, you must get one. If you do, you may
report and pay the new tax on admissions along with other sales taxes, such as
those from concession stand sales.

If you need more information, you may contact one of our field service offices
on the enclosed list or call 2-800-252-5555 toll free from anywhere in Texas.

BOB BULLOCK
Comptroller of Public Accounts

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