Ezel / Tax Rulings / TX
TX 9110L1151C11 Sales and/or Use Tax (State,Local,MTA) 1991-10-31

Could a church buy telephone service for its pastors' parsonages tax-free when the phones had some personal use?

Short answer: Yes. The Comptroller said churches could purchase telephone service for parsonages tax-free by giving the telecommunications provider an exemption certificate.

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 Code Rules 3.1 and 3.10); documents on STAR may no longer represent current policy even if not marked superseded.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

The requester described pastors' home telephone service paid by the church. The phones had some personal use, while long-distance use was usually for church business.

The Comptroller said churches could buy telephone service for their parsonages tax-free by giving the telecommunications provider an exemption certificate.

What this means for you

The ruling addressed church-purchased parsonage telephone service under the stated mixed-use facts. It did not discuss cable television despite the broader STAR subject label.

Common questions

Was the parsonage telephone service exempt? Yes. What documentation did the church provide? An exemption certificate. Did some personal use defeat the result? Not on the stated facts. Did the body decide cable-television treatment? No.

Citations and references

  • The letter does not identify a numbered statute or administrative rule.

Source

Original ruling text

October 31, 1991

Dear ****:

Thank you for your recent letter which is restated in part with
response below.

Facts

Pastors have home telephone service paid for by the church which
is tax exemption. Would this home telephone service be exempt?
There is some personal usage of this phone but the long distance
is usually by business.

Response: Churches may purchase telephone service for their
parsonages tax free by issuing the telecommunications service
provider an exemption certificate in lieu of tax.

This opinion is based on the facts you presented. Other facts,
though similar, may yield different results.

If you have questions or need more information, please call or
write. You may reach me by calling toll free, (800) 531-5441.
My direct line number is (512) 463-4680. The number for FAX
transmissions is (512) 475-0900. You may write to me in care
of Tax Administration Division.

Sincerely,

Al Van Allen
Tax Administration Division

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