Ezel / Tax Rulings / TX
TX 8709L0832A13 Sales and/or Use Tax (State,Local,MTA) 1987-09-21

Were dumpster-service charges and landfill tipping fees subject to Texas sales tax?

Short answer: The dumpster-service charge was taxable, but the separate landfill tipping fee was not because the Comptroller did not treat it as a solid-waste collection charge.

Apply this to your situation

This page answers the general question as of 1987. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1987
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 a taxpayer-specific September 1987 Texas Comptroller letter about a dumpster service and a landfill tipping fee. It says the opinion may change if the facts differ. The answer is historical and does not decide differently bundled or described waste-service charges; verify current law. STAR documents may no longer represent current policy even when not marked superseded. Identities are redacted. 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

The Comptroller separated two charges in a solid-waste arrangement. The amount charged for dumpster service was taxable. The landfill tipping fee was not taxable because the Comptroller said that fee was not for collecting solid waste.

What this means for you

On the facts stated, the character of each charge mattered: payment for the dumpster service was taxable, while the landfill disposal charge was not treated as a collection-service payment. The short letter does not discuss bundling, invoicing, or other fee arrangements.

Common questions

Was the dumpster-service charge taxable? Yes.

Was the landfill tipping fee taxable? No.

Why was the tipping fee treated differently? The Comptroller said it was not a fee for collecting solid waste.

Did the letter explain how bundled charges should be handled? No.

Citations and references

  • No statute or rule number is cited in the ruling text.

Source

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, TX 78774

September 21, 1987

Dear *:

Thank you for your letter of August 18, 1987, concerning tax on solid
waste
collection.

In particular, you asked about tax on your dumpster service. Tax will be
due on the amount you charge for the dumpster service. No tax will be
due
on tipping fees at the landfill as this fee is not for collection of
solid
waste.

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 me at
1-800-252-5555 toll free from anywhere in Texas. The regular number is
512/463-4600. You may write me at the Tax Policy Division.

Sincerely,
Adina Whittemore
Tax Policy Division

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