Ezel / Tax Rulings / TX
TX 9003L0995C03 Sales and/or Use Tax (State,Local,MTA) 1990-03-22

Did a purchaser's written refund request to its supplier stop Texas's four-year sales-tax refund limitations period?

Short answer: No. The period ran four years from when the tax was due and payable to the state. Only a refund request filed with the Comptroller by the person who paid the tax directly to the Comptroller could toll the limitations period.

Apply this to your situation

This page answers the general question as of 1990. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1990
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 an official Texas Comptroller of Public Accounts letter published on the State Tax Automated Research (STAR) system. Letters on STAR can be the basis of a detrimental reliance claim only for the taxpayer to whom the letter was directly issued (see 34 Tex. Admin. Code Rules 3.1 and 3.10); documents on STAR may no longer represent current policy even if not marked superseded. Taxpayer-identifying details are redacted. This summary is informational only and is not legal or tax advice. Consult a licensed Texas tax professional about your specific situation.
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 sales-tax refund limitations period was four years from the date the tax became due and payable to the state.

A purchaser's written request for a refund from its supplier did not stop that clock. Under the letter's reading of Tax Code Chapter 111, only a refund request made to the Comptroller by the person who paid the tax directly to the Comptroller could toll the limitations period.

Common questions

How long was the period described in the letter? Four years from when the tax was due and payable.

Did asking the supplier for a refund toll it? No.

What kind of request could toll it? A Comptroller refund request by the person who paid the tax directly to the Comptroller.

Source

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, 78774

March 22, 1990

Dear *****:

Thank you for your letter regarding the statute of limitations
applicable to a sales tax refund from the City A to your client,
**.

The statute of limitations is four years from the date on which
the tax was due and payable to the state. The date of the written
request for refund from the purchaser to the supplier does not
toll the statute of limitations period. Only the request for
refund by the person that paid the tax directly to the Comptroller
can toll the statute of limitations as provided by Chapter 111,
Texas Tax Code. Enclosed is Rule 3.325 about refunds.

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 additional information, you may
call me at 463-4600 or toll free at 1-800-252-5555, extension 3-
4666 from outside Austin. You may write to Tax Correspondence,
Comptroller of Public Accounts.

Sincerely,
Jo Ann Dieck
Tax Correspondence

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