Which local sales-tax rate applied when a Fort Worth florist delivered or wired flowers elsewhere?

Plain-English summary

A Fort Worth florist that prepared flowers in its shop and delivered them to Arlington had to charge the 7.5% Fort Worth rate described in the 1989 letter, rather than Arlington's 7% rate.

The same 7.5% rate applied when the florist wired an order for fulfillment in Arlington or elsewhere in the United States. Rule 3.307(j) sourced MTA or CTD tax to the florist inside the authority that took the order even when delivery occurred outside it.

The rates stated here are historical and should not be treated as current local rates.

Common questions

Did the Arlington delivery rate control a direct delivery? No.

Did wiring the order outside Texas change the stated rate? No.

Are the 1989 percentages current? This ruling does not establish current rates.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/8904L0935A12

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, TEXAS 78774

April 26, 1989

Dear ****:

I just want to take a minute to acknowledge your questions on
floral delivery.

Question: My floral shop is located in Fort Worth, Texas with a
tax rate of 7 1/2%. I deliver flowers, green plants, etc., to
Arlington, Texas which has a tax rate of 7%. I prepare all
flowers, green plants, etc., in my shop in Fort Worth and I
deliver (drive) to Arlington with these items. What tax rate do I
charge when sending *** a bill?

Answer: You should charge 7 1/2%. Rule 3.307 (enclosed) speaks
directly to this issue in paragraph (j):

MTA/CTD sales tax is due if a florist inside a
Metropolitan Transit Authority/City Transit Department
takes an order for a taxable item even though delivery
is outside the authority.

Question: If I wire flowers, green plants, etc., to Arlington,
Texas or other places in the United States, what taxes do I charge
the customer wiring the items. The 7% tax rate or the 7 1/2% tax
rate.

Answer: You should charge 7 1/2% even when you wire flowers to
points outside Texas.

Feel free to call or write me if you have questions. You can
reach me by calling toll free 800-531-5441 or FAX (512) 475-0900.

Sincerely,
Al Van Allen
Taxability Section
Legal Services Division