Which boundary, title, residential, lot, right-of-way, engineering, and marine surveying services were taxable under Texas's 1988 rules?

Plain-English summary

Texas treated as taxable any surveying activity performed to determine or confirm real-property boundaries or to locate structures or other improvements in relation to those boundaries.

The letter's taxable examples were:

• boundary recovery;
• title surveying;
• residential surveying;
• as-built title surveying;
• lot surveying; and
• right-of-way surveying.

Surveying performed by engineers was also taxable. The Comptroller said some marine surveying was taxable but needed a detailed description to decide a particular service.

What this means for you

The historical rule focused on boundary determination and the location of improvements relative to boundaries. The example list was not a complete classification of every survey.

Common questions

Were boundary surveys taxable? Yes.

Were residential and lot surveys taxable? Yes, as listed by the letter.

Did an engineer's professional status make surveying nontaxable? No.

Was every marine survey taxable? The letter did not say; more facts were required.

Citations and references

The letter refers to an enclosed surveying rule but gives no rule number.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/8801L0855A01

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, TX 78774

BOB BULLOCK
Comptroller January 27, 1988

Dear *:

On behalf of Mr. Bullock, I hope you'll accept my apology for the delay
in
answering your question regarding taxable surveying services.

Our people were, and still are, swamped by a deluge of inquiries as they
attempted to interpret provisions of the new law and draft rules which
would
not adversely impact businesses. In many instances, an answer to a
question
just wasn't available when the question arrived.

Taxable surveying services under the sales tax law include any activities
performed to determine or confirm the boundaries of real property.
Surveying
to determine or confirm the location of structures or other improvements
in
relation to the boundaries of the property are also taxable. Examples of
taxable surveying include:

Boundary recovery Title surveying
Residential surveying As-built title surveying
Lot surveying Right-of-way surveying

Surveying services performed by engineers are also taxable.

Without a detailed explanation of your surveying services, it is
difficult to
determine if they are taxable, but some marine surveying is taxable.

I have sent you under separate cover, an application packet should it be
necessary for your to obtain a permit. I have enclosed with this letter
our
rule covering surveying.

If, after reading the rule, you determine that your service is taxable,
please fill out and return the application to the address shown on the
application.

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 Telephone Bank Operations.

Sincerely,
Raul Cruz
Telephone Bank Operations