Could a church use a Texas sales-tax exemption certificate before the Comptroller had approved its exempt status?

Plain-English summary

The Comptroller said its records showed the church had not qualified for exemption from state sales tax. The church was directed to Rule 3.322(c)(3) and (d) for the information and steps required to request exempt status.

After obtaining exempt status, the church could send its utility company both the Comptroller's exemption letter and an exemption certificate.

Common questions

Was the church already exempt? No, according to the Comptroller's records.

Did the letter decide whether the organization was a legitimate church? No. It addressed whether the church had qualified for state sales-tax exemption.

What could the church give its utility after approval? A copy of the exemption letter and an exemption certificate.

Citations and references

• Texas Comptroller Rule 3.322(c)(3) and (d) — qualification information and guidelines referenced in the letter.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/8601L0693E01

Original ruling text

January 9, 1986

Dear **:

The sales tax exemption certificate for Confrontation COGIC was received
from *** for review.

Our records indicate your church has not qualified for exemption from
paying state sales tax. Refer to the enclosed Rule 3.322(c)(3) and (d)
for information and guidelines to follow when requesting exempt status.

After exempt status has been obtained, you may send a copy of the letter of
exemption and an exemption certificate to your utility company.

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

If you have any questions or need more information, please call us at
1-800-252-5555 toll free from anywhere in Texas. You may write us at the
Tax Administration Division.

Sincerely,

Tax Policy Section
Tax Administration Division