CD EXAS 

July 20, 1951 

Hon. Robert S. Cslvert Opinion No. V-1209 

Comptroller of Public Accounts 

Austin, Texas Re: Legality of transferring a 

thirty dollar annual tax receipt on a five cent coin- 

. 

Dear Mr. Calvert: 

operated marble table to a 

different kind of five cent 

coin-operated machine when 

the marble table is sold or 

destroyed. 

Your request for an opinion reads, in part, as follows: 

“Section 4 (e) of Article III of House Bill 8, Chapter 495, Acts of the 44th Legislature, Third Called Session of 1936 [Art. 7047a-2, V.C.S.], reads as follows: 

” ‘The term “skill or pleasure coin-operated 

machines”as used herein shall mean and include every 

coin-operated machine of any kind or character whatsoever, when such machine or machines dispense or 

are used or are capable of being used, or operated for 

amusement or pleasure or when such machines are 

operated for the purpose of dispensing or affording 

skill or pleasure, or for any other purpose other than 

the dispensing or vending of “merchandise or music” 

or “service exclusively, as those terms are defined 

herein. The following are express.ly included within 

said term: marble machines, marble table machines, 

marble shooting machines, miniature race track machines, miniature football machines, miniature g,olf 

machines, miniature bowling machines, and all other 

coin-operated machines which dispense or afford skill 

or pleasure.’ 

“The tax rate is $30 per calendar year on five 

cent coin-operated ‘skill or pleasure machines’ and 

$60 per calendar year when the coin or token used in 

operation is one of the value in excess of five cents. 

“If a coin-operated machine operator has paid 

$30 state tax on a five-cent coin-operated marble 

table and the marble table is sold or d,estroyed, could 
Hon. Robert S. Calvert, Page 2 (V-1209) 

the $30 tax receipt issued for the marble table be transferred to a five-cent coin-operated miniature bowling 

machine? Or transferred to any other five-cent coinoperated skill or pleasure machine? 

“If your answer to the above question is in the 

affirmative, could the $30 coin-operated marble machine tax receipt be applied as credit on part payment 

of the tax on another type of ‘skill or pleasure machine’ 

that requires a ten-cent coin to operate and that carries an annual tax of $6’07 ” 

Article 7047a-3, V.C.S., provides, in part, as follows: 

“Every ‘Owner’ as that term is hereinabove defined, who owns, controls, possesses, exhibits, displays, 

or who permits to be exhibited or displayed in this State 

any ‘coin-operated machines’ as that term is defined 

herein, shall pay and there is hereby levied on every 

coin-operated machine as defined in this Act, except 

such as are exempted herein, an annual occu 

determined by the following schedule:.. . ” Ef$t.$s 

added.) 

Article 7047a-2, V.C.S., defines the term “owner” as 

follows: 

“The term ‘owner’ as used herein shall mean 

and include any person, individual, firm, company, association or corporation owning or having the care, 

control, management or possession of any ‘coin-operated machine’ in this State.” 

We have carefully examined all the provisions of the 

law which levy taxes upon coin-operated machines and find that the 

Legislature has not in any manner provided for either a refund of 

the tax levied or the transfer of the license or permit issued to evidence the payment of the tax to a different machine by reason of 

the fact that the machine is either sold, lost, destroyed, or is no 

longer in use. 

We think it is clear that Article 7047a-3 levies an annual 

tax upon every coin-operated machine as defined in the statutes levying the tax. If the license or permit could be transferred to a different machine, the result would be that the annual tax levied against 

each machine would not be collected, but only an annual tax in the 

stated amount would be collected by reason of the operation of two 

or more machines during the taxable year. 
. 1. . 

Hon. Robert S. Calvert, Page 3 (V-1209) 

We therefore answer your questions in the negative. 

SUMMARY 

The license or permit issued to the owner of a 

coin-operated machine evidencing the payment of the 

annual occupation tax cannot lawfully be transferred 

to a different coin-operated machine. 

Yours very truly, 

APPROVED: 

resse P. Luton, Jr. 

Reviewing As.sistant 

Charles D. Mathews 

First Assistant 

WVG/mwb 

PRICE DANIEL 

Attorney General 

W. V. Geppert 

Assistant