Ezel / Tax Rulings / TX
TX 9108L1133B08 Sales and/or Use Tax (State,Local,MTA) 1991-08-30

Were annual hunting-rights fees and additional fees charged per bird taxable when they granted hunters a right in private real property?

Short answer: No. The Comptroller treated both the annual hunting-rights charge and the per-bird charge as payment for a personal license or profit a prendre in private real estate, not as taxable sales.

Apply this to your situation

This page answers the general question as of 1991. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1991
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 Code Rules 3.1 and 3.10); documents on STAR may no longer represent current policy even if not marked superseded.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

A landowner proposed selling hunting rights on private property for an annual amount per customer and possibly an additional amount per bird hunted.

The Comptroller treated the charge as payment for a personal license in private real estate, described as a profit a prendre—the right to take part of the soil or produce of land. Both the hunting-rights fee and the per-bird fee were not taxable.

What this means for you

The letter addressed access rights in private land, not a separately described guiding service. It classified the payments by the real-property right granted to the hunter.

Common questions

Was the annual hunting-rights fee taxable? No.

Was the additional per-bird fee taxable? No.

Did the letter analyze a separate guide service? No. Its facts concerned rights to hunt on private property.

Citations and references

  • 17 American Jurisprudence 927, Section 6 — definition of profit a prendre quoted in the letter

Source

Original ruling text

August 30, 1991

Dear ***:

Thank you for your letter regarding your client' s issuing of
hunting rights on his property. You indicate that these rights
would be sold on a per customer, yearly basis, and possibly on
a per bird hunted basis.

The Texas Comptroller's office has taken the position that the
fee is in fact a fee for granting the hunter a right in private
real estate. By paying the fee, the hunter is paying for a personal
license, or "profit a prendre." 17 American Jurisprudence
927, section 6 provides that "the right to profits, denominated
'profit a prendre', consists of a right to take a part of the
soil or produce of the land, in which there is a supposable value."

The fees for the hunting rights and the fees charged per bird
are not taxable.

This opinion is based on the facts provided. If there are additional
or different facts, the opinion could change.

If you have any questions, please don't hesitate to call toll
free at 1-800-252-5555.

Sincerely,

Joan Hale
Tax Administration Division

Get today's answer for your situation

You just read a 1991 ruling on this question. Ezel checks current Texas tax law and answers your specific situation, with citations.

Opens in Ezel Pro. Every answer cites the authority it relies on.