Ezel / Tax Rulings / TX
TX 8712L0852F08 Sales and/or Use Tax (State,Local,MTA) 1987-09-18

Were maid and housekeeping services taxable at commercial and residential locations, and how were private-household employees treated?

Short answer: The letter treated a maid-service business's total charge as taxable beginning October 1, 1987 at both commercial and residential locations. A maid or cook employed by a private household to provide the services was not taxable.

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 based on the described maid-service business. It says the opinion may change if the facts differ. The October 1, 1987 effective date and the letter's real-property-service and household-employee classifications are historical and may have changed substantially; verify current law and worker status. The letter does not provide a complete test for distinguishing an employee from an independent service provider. STAR documents may no longer represent current policy even when not marked superseded.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 said maid service was included in taxable real-property services effective October 1, 1987. That category included building or grounds cleaning, janitorial or custodial services, and keeping a building's premises clean, orderly, and functional.

For a maid-service business, the total charge was taxable whether the work occurred at a commercial or residential location. But a maid or cook employed by a private household to provide the services was not taxable.

What this means for you

The historical letter distinguished a business selling cleaning services from a maid or cook employed by a private household. Residential location alone did not exempt a maid-service business's charge.

Common questions

Were commercial maid services taxable? Yes. The letter said the total charge was taxable.

Were residential maid services sold by a business taxable? Yes. The location could be commercial or residential.

What services fell within the described category? Building or grounds cleaning, janitorial or custodial services, and activities keeping premises clean, orderly, and functional.

What about a maid or cook employed by a private household? The letter said those services were not taxable.

Citations and references

  • No statute or administrative rule is cited in the letter text.

Source

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, 78774

September 18, 1987

Dear ****:

Thank you for your letter concerning the taxability of your business.

Maid service is included in the Real Property Service section of the
Limited Sales, Excise and Use Tax law effective 10-1-87.

Real Property Services includes building or grounds cleaning, janitorial
or custodial services. Also the activities of keeping the premises of a
building clean, orderly and functional. It does not matter whether its done at
a commercial or residential location, the total charge is taxable. If a maid
or cook is employed by a private household to provide these services, they are
not taxable.

Enclosed is a sales tax application that needs to be completed and
returned. If you need help with the application, or in determining the correct
tax rate you can call the Comptroller's office nearest you at (512) 684-8652.

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,
Curt Swenson
Tax Policy Division

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