Did a Mexican pedimento simplificado prove export well enough to support a Texas sales-tax refund?

Plain-English summary

The taxpayer sought a refund of sales tax paid on computer equipment exported to Mexico and submitted refund assignments plus a pedimento simplificado.

The Comptroller said an export exemption had to be proved with formal entry documents from the destination country showing import outside the United States. For Mexico, Rule 3.323(c)(1)(C) required a pedimento de importaciones bearing a computerized, certified number issued by Mexican customs officials.

The submitted simplified form did not satisfy that requirement, so no refund should be issued until proper documentation arrived. The taxpayer could submit the certified pedimento de importaciones or a letter from Mexican Customs saying the pedimento simplificado had become the standard form used to document Mexican imports.

What this means for you

Possession of some customs paperwork was not enough. An exporter seeking a Texas refund needed the exact formal proof accepted by the rule or official confirmation that a replacement form had become standard.

Common questions

Was the pedimento simplificado accepted? No. What document was required? A pedimento de importaciones with the certified customs number. Was there an alternative? Yes, a Mexican Customs letter confirming the simplified form was now standard. Could the refund issue before proper proof arrived? No.

Citations and references

• 34 Tex. Admin. Code Rule 3.323(c)(1)(C)

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9112L1146D12

Original ruling text

DATE: December 9, 1991

TO: Kent Cardwell, Credits, Revenue Accounting Division

FROM: Gilbert Zamora, Tax Administration Division

SUBJECT: **

RE: Valid Export Documents

When an exemption is claimed because tangible personal property
is/was exported outside the territorial limits of the United
States, proof of export may only be shown by formal entry
documents from the country of destination showing that the
Property was imported into a country other than the United
States. For the country of Mexico, the formal entry document is
the "pedimento de importaciones" document with a computerized,
certified number issued by Mexican customs officials. (See
section (c)(1)(C) of Rule 3.323, Imports and Exports.)

The "pedimento simplificado" provided by * of **,
does not meet the requirements set forth in section (c)(1)(C) of
Rule 3.323, and is therefore invalid. In order to receive a
refund, **** must submit a properly completed "pedimento
de importaciones" with the required number issued by Mexican Customs.

Attached is a copy of my November 14, 1991, letter to ** .
Until proper documentation is received from * , no tax
should be refunded. The info from *** regarding the
assignment should be retained in the event proper export documentation
is received.

November 14, 1991

Dear **:

Your letters requesting a refund of sales taxes paid to
COMPANY A, for computer equipment exported to Mexico, have
been referred to me by Ms. Lisa Schurtz and Mr. Kent Cardwell, of
our Revenue Accounting Division. I appreciate your patience and
apologize for the delay in response.

You furnished copies of a "Pedimento Simplificado" as proof of
export of the computer equipment into Mexico, along with Refund
Assignments from COMPANY A, to Ms. Schurtz and Mr. Cardwell.

When an exemption is claimed because tangible personal property
is/was exported outside the territorial limits of the United
States, proof of export may only be shown by formal entry
documents from the country of destination showing that the
Property was imported into a country other than the United
States. For the country of Mexico, the formal entry document is
the "Pedimento de Importaciones" document with a computerized,
certified number issued by Mexican customs officials. (See
section (c)(1)(C) of Rule 3.323, Imports and Exports).

The "pedimento simplificado" that you provided does not meet the
requirements set forth in section (c)(1)(C) of rule 3.323, and is
therefore invalid. In order to receive a refund, you must submit
a properly completed "pedimento de importaciones" with the
required number issued by Mexican Customs. Alternatively, you
may submit a letter from Mexican Customs stating that the
"Pedimento Simplificado" is now the standard form used to
document imports into Mexico.

This opinion is based on the facts presented. Other facts though
similar may provide a different result.

If you have other questions or need more information, you may
call 512/463-4600, or 1-800-252-5555 from outside Austin. You
may write to Tax Administration Division.

Sincerely,

Gilbert Zamora
Tax Administration Division