reglab/statecodes huggingface dataset:
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter D. Records and Reports › Section 155.110. Availability of Records

Sec. 155.110.  AVAILABILITY OF RECORDS.  (a)  Except as provided by Section 111.0041, each permit holder shall keep records available for inspection and copying by the comptroller and the attorney general for at least four years.
(b)  If a permit holder's place of business is a vehicle or vending machine, the permit holder shall designate in the application for a permit a permanent place of business to keep the records.  The permit holder shall keep the records in the designated place.
(c)  Each permit holder who is required to keep records under this chapter shall provide the comptroller with copies of the records on demand.
Acts 1981, 67th Leg., p. 1676, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1985, 69th Leg., ch. 58, Sec. 38, eff. March 1, 1986;  Acts 1989, 71st Leg., ch. 240, Sec. 73, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 51, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.90, eff. Sept. 1, 1997;  Acts 2001, 77th Leg., ch. 540, Sec. 6, eff. Sept. 1, 2001.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 4.09, eff. October 1, 2011.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter D. Records and Reports › Section 155.111. Distributor's Report

Sec. 155.111.  DISTRIBUTOR'S REPORT.  (a)  A distributor shall file with the comptroller on or before the 25th day of each month a report for the preceding month.
(b)  The report must show:
(1)  the date the report was made;
(2)  the distributor's name and address;
(3)  the month the report covers;
(4)  the amount of tobacco products purchased, received, and acquired;
(5)  the manufacturer's list price of tobacco products purchased, received, and acquired;
(6)  the amount of tobacco products sold, distributed, used, lost, or otherwise disposed of;
(7)  the amount of tobacco products on hand at the beginning and the end of the month;  and
(8)  any other information the comptroller requires relating to tobacco products and to the payment of taxes due on them.
(b-1)  In addition to the information required under Subsection (b), the report must show the net weight as listed by the manufacturer for each unit of tobacco products other than cigars that is purchased, received, or acquired.
(c)  The comptroller shall prescribe the form and content of the report.
(d)  If more than 50 percent of all untaxed tobacco products received by the distributor in this state are actually sold outside of this state, the distributor shall include in the report only tobacco products that are sold in this state.
Acts 1981, 67th Leg., p. 1677, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 74, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 51, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1040, Sec. 49, eff. Sept. 1, 1997;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.91, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 1467, Sec. 2.45, eff. Oct. 1, 1999;  Acts 2001, 77th Leg., ch. 1263, Sec. 54, eff. Oct. 1, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 285 (H.B. 2154), Sec. 15, eff. September 1, 2009.
Acts 2017, 85th Leg., R.S., Ch. 33 (S.B. 1390), Sec. 8, eff. September 1, 2017.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter D. Records and Reports › Section 155.112. Failure to Produce Records

Sec. 155.112.  FAILURE TO PRODUCE RECORDS.  (a)  A person's failure to produce the records required by this subchapter or a person's inability to provide other proof of tax payment, on demand by the comptroller, is prima facie evidence that tobacco products possessed by the person were received for the purpose of making a first sale without payment of the tax imposed by this chapter.
(b)  Repealed by Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 15, eff. September 1, 2019.
(c)  This section does not apply to a failure to produce records or provide other proof of tax payment under Subsection (a) if the failure results from an occurrence beyond the person's control.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 52, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.92, eff. Sept. 1, 1997.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 15, eff. September 1, 2019.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.141. Donations

Sec. 155.141.  DONATIONS.  The comptroller may accept gifts, grants, and donations for the administration and enforcement of this chapter.
Added by Acts 1989, 71st Leg., ch. 240, Sec. 75, eff. Oct. 1, 1989.  Amended by Acts 1997, 75th Leg., ch. 1040, Sec. 50, Sept. 1, 1997;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.93, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.143. Seizure

Sec. 155.143.  SEIZURE.  (a)  The comptroller with or without process may seize:
(1)  tobacco products taxed under this chapter that are possessed or controlled by a person for the purpose of selling or removing the tobacco products in violation of this chapter;
(2)  tobacco products that are removed, deposited, or concealed by a person intending to avoid payment of taxes imposed by this chapter;
(3)  an automobile, truck, boat, conveyance, or other type of vehicle used to remove or transport tobacco products by a person intending to avoid payment of taxes imposed by this chapter;  and
(4)  equipment, paraphernalia, or other tangible personal property used by a person intending to avoid payment of taxes imposed by this chapter found in the place where the tobacco products are found.
(b)  An item seized under this section is forfeited to the state and remains in the custody of the comptroller for disposition as provided by this chapter.  The seized item is not subject to replevin.
Acts 1981, 67th Leg., p. 1678, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 76, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 53, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.94, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.144. Comptroller's Report

Sec. 155.144.  COMPTROLLER'S REPORT.  (a)  If the comptroller seizes property under Section 155.143, the comptroller shall immediately make a written report showing:
(1)  the name of the person making the seizure;
(2)  the place where the property was seized;
(3)  the person from whom the property was seized;  and
(4)  an inventory of the property seized.
(b)  The comptroller shall prepare the report in duplicate.  The person who seized the property shall sign the report.  The comptroller shall give the original to the person from whom the property was seized and shall file a duplicate copy open for public inspection in the comptroller's office.
Acts 1981, 67th Leg., p. 1678, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 77, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 54, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.95, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.1445. Sale of Seized Tobacco Products

Sec. 155.1445.  SALE OF SEIZED TOBACCO PRODUCTS.  (a)  Tobacco products are perishable items.
(b)  If the seized tobacco products are in a salable condition, the comptroller may sell the tobacco products, return the tobacco products to the manufacturer for credit, or destroy or dispose of the tobacco products.
(c)  The price obtained at the sale is the market value for the tobacco products sold.
(d)  The comptroller shall place the proceeds from the sale of seized tobacco products in escrow in a treasury suspense account, pending the outcome of the forfeiture proceeding provided for in this chapter.
(e)  If a determination is made that the comptroller wrongfully seized the tobacco products, the person entitled to the tobacco products at the time of seizure may recover the money held in escrow in the treasury suspense account.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 55, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.96, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.145. Forfeiture Proceeding

Sec. 155.145.  FORFEITURE PROCEEDING.  (a)  The owner of property seized under this chapter is entitled to written notice of the seizure.
(b)  The comptroller shall give the notice by certified mail, return receipt requested, not later than the 15th day after the date of seizure and shall include with the notice an inventory of the property seized and a statement that the owner of property seized is entitled to a hearing on the seizure.  Service by mail is complete when the notice is received, as evidenced by return receipt from the U.S. Postal Service.
(c)  After providing the notice and a hearing, if a hearing is requested under Subsection (b), the comptroller may order the forfeiture to the state of any property seized under this chapter or the proceeds of the sale of any tobacco products seized under this chapter if the comptroller finds that the property was used, controlled, possessed, or concealed for the purpose of violating any provision of this chapter.
(d)  The comptroller shall hold property or proceeds forfeited under this section in escrow until the comptroller's determination is final and the period for filing a petition for judicial review has expired.
(e)  A forfeiture proceeding under this section is an in rem proceeding.
Acts 1981, 67th Leg., p. 1679, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 78, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 56, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1040, Sec. 51, eff. Sept. 1, 1997;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.97, eff. Sept. 1, 1997.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 68 (S.B. 934), Sec. 22, eff. September 1, 2011.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.1451. Disposition of Forfeited Property

Sec. 155.1451.  DISPOSITION OF FORFEITED PROPERTY.  (a)  The comptroller may sell property forfeited to the state at public or private sale in any commercially reasonable manner or retain the property for official use by the comptroller's criminal investigation division.  Property retained for use under this subsection may later be sold by the comptroller under this section.
(b)  Subject to the provisions of Section 155.153, the comptroller shall deposit the sale proceeds, less expenses of seizure, court costs, and any investigation and audit costs, in the state treasury.
(c)  The comptroller shall use the sale proceeds to operate and administer the tobacco products tax program up to the amount appropriated by the legislature for this purpose.  The comptroller shall allocate any sale proceeds that exceed the legislative appropriation as provided by Subchapter H. Any unused appropriations remain in the general revenue fund.
(d)  If an automobile or other vehicle seized under Section 155.143 is forfeited and retained by the comptroller under Subsection (a), the comptroller is considered the owner under Subtitle A, Title 7, Transportation Code.  The Texas Department of Motor Vehicles shall issue a certificate of title for the vehicle to the comptroller.  The comptroller may maintain, repair, use, and operate the vehicle with money appropriated for current operations.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 57, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.98, eff. Sept. 1, 1997.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 68 (S.B. 934), Sec. 23, eff. September 1, 2011.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.146. Photographic Evidence in Cases Involving Seized Tobacco Products

Sec. 155.146.  PHOTOGRAPHIC EVIDENCE IN CASES INVOLVING SEIZED TOBACCO PRODUCTS.  (a)  The comptroller may photograph tobacco products seized under Section 155.143 before their sale under this subchapter.
(b)  In a proceeding arising out of this chapter, including a criminal proceeding, the state is not required to produce the actual tobacco products.
(c)  The photographs are admissible in evidence under rules of law governing the admissibility of photographs.  The photographs are as admissible in evidence as are the tobacco products themselves.
(d)  A person's rights of discovery and inspection of tangible physical evidence are satisfied if the photographs taken under this section are made available to the person by the state on order of any court or other entity having jurisdiction over the proceeding.
Added by Acts 2011, 82nd Leg., R.S., Ch. 68 (S.B. 934), Sec. 24, eff. September 1, 2011.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.150. Seizure or Sale No Defense

Sec. 155.150.  SEIZURE OR SALE NO DEFENSE.  The seizure, forfeiture, and sale of tobacco products or property under this chapter, with or without court action, is not a defense to criminal prosecution for an offense or from liability for a penalty under this chapter.
Acts 1981, 67th Leg., p. 1680, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.151. Waiver Permitted

Sec. 155.151.  WAIVER PERMITTED.  (a)  The comptroller may waive a forfeiture proceeding for property seized under Section 155.143 of this code if the owner or possessor of the property:
(1)  pays the tax due;  and
(2)  pays to the state through the comptroller an additional sum equal to the tax due.
(b)  The comptroller may make a compromise with a person before or after a claim is filed in court.  The comptroller shall keep a record open for public inspection of compromises and waivers of forfeiture made under this section.
Acts 1981, 67th Leg., p. 1680, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 81, eff. Oct. 1, 1989;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.99, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.152. Payment to Treasury

Sec. 155.152.  PAYMENT TO TREASURY.  The comptroller shall deposit all taxes collected under this chapter, after payment of costs, in the treasury to be allocated as provided by Subchapter H.
Acts 1981, 67th Leg., p. 1680, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 82, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 58, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.100, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.153. Preferred State Tax Lien

Sec. 155.153.  PREFERRED STATE TAX LIEN.  (a)  All taxes, fines, interest, penalties, and costs due under this chapter are secured by a preferred lien in favor of the state, first and prior to all other existing or future liens, contractual or statutory, legal or equitable, regardless of the time the lien originated, on any property seized and forfeited under this chapter.
(b)  A lienholder who establishes an interest in the property is entitled to recover any proceeds remaining after payment of all taxes, interest, penalties, and costs due to the state.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 59, eff. June 7, 1991.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.154. Donations

Sec. 155.154.  DONATIONS.  The comptroller may accept gifts, grants, and donations for the administration and enforcement of this chapter.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 59, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.101, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter E. Enforcement of Tax › Section 155.155. Reciprocal Agreements

Sec. 155.155.  RECIPROCAL AGREEMENTS.  (a)  The comptroller may enter into a reciprocal agreement with a tax official of another state or an official of the United States allowing the exchange of information received by, recorded by, prepared by, furnished to, or collected by the comptroller with respect to the investigation and enforcement of this chapter for any tax, penalty, interest, fine, forfeiture, or offense.
(b)  This section does not permit the exchange of information made confidential by this chapter.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 59, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.102, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.181. Compliance Investigation and Recovery of Costs

Sec. 155.181.  COMPLIANCE INVESTIGATION AND RECOVERY OF COSTS.  (a)  If the comptroller has reason to believe that a person has failed to pay a tax or penalty in the proper manner when due or otherwise failed to comply with this chapter, the comptroller may employ auditors and investigators to determine compliance and any amount due.  If the comptroller determines that the person has not paid the tax or penalty or has failed to comply with this chapter, the comptroller may require the person to pay the reasonable expenses incurred in the compliance investigation and audit as an additional penalty.
(b)  The comptroller shall deposit funds paid under this section to the credit of the general revenue fund in the treasury to be used for making audits, conducting investigations, or as otherwise appropriated.  The comptroller may use other funds available for audits as appropriated by the legislature.
Acts 1981, 67th Leg., p. 1681, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 83, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 61, eff. June 7, 1991;  Acts 1995, 74th Leg., ch. 1000, Sec. 52, eff. Oct. 1, 1995;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.104, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.182. Payment of Double Amount

Sec. 155.182.  PAYMENT OF DOUBLE AMOUNT.  (a)  If the comptroller finds that a person has sold tobacco products without the tax having been paid, the comptroller may require the person to pay the state through the comptroller a sum equal to twice the amount of tax due.
(b)  If a person does not furnish the comptroller with any evidence showing payment of the tax on tobacco products purchased by the person, it is presumed that the tobacco products were sold without reporting and paying the tax.
Acts 1981, 67th Leg., p. 1681, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 84, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 62, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.105, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.183. Inspection

Sec. 155.183.  INSPECTION.  (a)  To determine the tax liability of a person dealing in tobacco products or compliance by the person with this chapter, the comptroller may:
(1)  inspect any premises, including a vending machine and its contents, where tobacco products are manufactured, produced, stored, transported, sold, or offered for sale or exchange;
(2)  remain on the premises as long as necessary to determine the tax liability or compliance with this chapter;
(3)  examine the records required by this chapter or other records, books, documents, papers, accounts, and objects that the comptroller determines are necessary for conducting a complete examination;  and
(4)  examine stocks of tobacco products.
(b)  A person dealing in tobacco products may not:
(1)  fail to produce, on the comptroller's demand, records required by this chapter;  or
(2)  hinder or prevent the inspection of records or the examination of the premises.
Acts 1981, 67th Leg., p. 1681, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 85, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 63, eff. June 7, 1991;  Acts 1995, 74th Leg., ch. 1000, Sec. 53, eff. Oct. 1, 1995;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.106, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.184. Credit for Tax Paid

Sec. 155.184.  CREDIT FOR TAX PAID.  (a)  The comptroller may adopt rules providing for a credit or refund for tax paid on tobacco products if the tobacco products have become unfit for use or consumption or unsalable.
(b)  The comptroller may not allow a credit or refund under this section unless the comptroller is satisfied that the tobacco products are unfit for use or consumption or unsalable or have been returned to the manufacturer.
Acts 1981, 67th Leg., p. 1682, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 86, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 63, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.107, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.185. Deficiency Determination, Penalties, and Interest

Sec. 155.185.  DEFICIENCY DETERMINATION, PENALTIES, AND INTEREST.  (a)  If the comptroller has reasonable cause to believe that a tax report or the amount of tax is inaccurate, the comptroller may compute and determine the amount of tax, penalty, and interest to be paid from information contained in the report or from any other information available to the comptroller.
(b)  On making a deficiency determination, the comptroller shall notify the person by personal service or by mail. Service by mail is complete when the notice is deposited with the U.S. Postal Service.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 64, eff. June 7, 1991.  Amended by Acts 1995, 74th Leg., ch. 1000, Sec. 54, eff. Oct. 1, 1995;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.108, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 1467, Sec. 2.46, eff. Oct. 1, 1999.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter F. Administration by Comptroller › Section 155.186. Redetermination

Sec. 155.186.  REDETERMINATION.  (a)  A person who receives notice of a deficiency determination may submit a written request to the comptroller for redetermination.  If the person desires a hearing, the request for a hearing must be included in the written request for redetermination.
(b)  A written request for redetermination must be filed at the office of the comptroller not later than the 30th day after the date notice of deficiency is issued. If a written request for redetermination is not filed as required by this subsection, the determination is final.
(c)  On receipt of a written request for redetermination, the comptroller shall:
(1)  review the request for redetermination if a hearing was not requested;  or
(2)  provide the person against whom the deficiency determination was made with written notice of the time, place, and date of a redetermination hearing.
(d)  The comptroller shall give notice of a redetermination hearing by personal service or by mail. Service by mail is complete when the notice is deposited with the U.S. Postal Service.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 64, eff. June 7, 1991.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 19.109, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 1467, Sec. 2.47, eff. Oct. 1, 1999.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.201. Penalties

Sec. 155.201.  PENALTIES.  (a)  A person violates this chapter if the person:
(1)  is a distributor, wholesaler, manufacturer, export warehouse, importer, bonded agent, interstate warehouse, manufacturer's representative, or retailer and fails to keep records required by this chapter;
(2)  engages in the business of a bonded agent, interstate warehouse, distributor, wholesaler, manufacturer, export warehouse, importer, or retailer without a valid permit;
(3)  is a distributor, wholesaler, manufacturer, export warehouse, importer, bonded agent, interstate warehouse, or retailer and fails to make a report required by this chapter to the comptroller or makes a false or incomplete report or application required by this chapter to the comptroller; or
(4)  is a person affected by this chapter and fails or refuses to abide by or violates a provision of this chapter or a rule adopted by the comptroller under this chapter.
(b)  A person who violates this chapter shall pay to the state a penalty of not more than $2,000 for each violation.
(c)  A separate offense is committed each day on which a violation occurs.
(d)  The attorney general shall bring suits to recover penalties under this section.
(e)  A suit under this section may be brought in a court of competent jurisdiction in Travis County or in any court having jurisdiction.
Acts 1981, 67th Leg., p. 1682, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1985, 69th Leg., ch. 58, Sec. 41, eff. March 1, 1986;  Acts 1989, 71st Leg., ch. 240, Sec. 87, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 65, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.110, eff. Sept. 1, 1997;  Acts 2001, 77th Leg., ch. 1263, Sec. 55, eff. Oct. 1, 2001.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 9, eff. September 1, 2019.
Acts 2021, 87th Leg., R.S., Ch. 994 (S.B. 248), Sec. 33, eff. September 1, 2021.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.202. Nonpayment of Tax

Sec. 155.202.  NONPAYMENT OF TAX.  A person commits an offense if the person, without the tax being paid:
(1)  receives or possesses in this state tobacco products for the purpose of making a first sale;
(2)  sells, offers for sale, or presents tobacco products as a prize or gift; or
(3)  knowingly consumes, uses, or smokes tobacco products subject to the tax imposed by this chapter.
Acts 1981, 67th Leg., p. 1683, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 409, Sec. 66, eff. June 7, 1991.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 10, eff. September 1, 2019.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.204. Concealment of Violation

Sec. 155.204.  CONCEALMENT OF VIOLATION.  A person commits an offense if the person uses any artful device or deceptive practice to conceal a violation of this chapter.
Acts 1981, 67th Leg., p. 1683, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.205. Misleading the Comptroller

Sec. 155.205.  MISLEADING THE COMPTROLLER.  A person commits an offense if the person misleads the comptroller in the enforcement of this chapter.
Acts 1981, 67th Leg., p. 1683, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 88, eff. Oct. 1, 1989;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.111, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.206. Refusing to Surrender Tobacco Products

Sec. 155.206.  REFUSING TO SURRENDER TOBACCO PRODUCTS.  A person commits an offense if the person refuses to surrender to the comptroller on demand tobacco products possessed in violation of this chapter.
Acts 1981, 67th Leg., p. 1683, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1989, 71st Leg., ch. 240, Sec. 89, eff. Oct. 1, 1989;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.112, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.207. Permits

Sec. 155.207.  PERMITS.  A person commits an offense if the person acting:
(1)  as a distributor, interstate warehouse, wholesaler, or retailer, receives or possesses tobacco products without having a valid permit;
(2)  as a distributor, interstate warehouse, wholesaler, or retailer, receives or possesses tobacco products without having a permit posted where it can be easily seen by the public;
(3)  as a distributor, interstate warehouse, or wholesaler, does not deliver an invoice to the purchaser as required by Section 155.102;
(4)  as a distributor, interstate warehouse,  wholesaler, or retailer, sells tobacco products without having a valid permit; or
(5)  as a bonded agent, interstate warehouse,  or export warehouse, stores, distributes, or delivers tobacco products on which the tax has not been paid without having a valid permit.
Acts 1981, 67th Leg., p. 1683, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1985, 69th Leg., ch. 58, Sec. 42, eff. March 1, 1986;  Acts 1991, 72nd Leg., ch. 409, Sec. 67, eff. June 7, 1991.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 11, eff. September 1, 2019.
Acts 2021, 87th Leg., R.S., Ch. 994 (S.B. 248), Sec. 34, eff. September 1, 2021.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.2075. Fingerprints

Sec. 155.2075.  FINGERPRINTS.  The comptroller may refuse to grant a permit or may revoke or suspend a permit if the applicant or permit holder fails, on request, to provide a complete set of fingerprints required for searching the Federal Bureau of Investigation Identification Division files.
Added by Acts 1991, 72nd Leg., ch. 409, Sec. 67, eff. June 7, 1991.  Amended by Acts 1993, 73rd Leg., ch. 790, Sec. 46(21), eff. Sept. 1, 1993;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.113, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.208. Misdemeanor

Sec. 155.208.  MISDEMEANOR.  An offense under Sections 155.202-155.207 is a Class A misdemeanor.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 409, Sec. 67, eff. June 7, 1991.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.209. Transportation of Tobacco Products

Sec. 155.209.  TRANSPORTATION OF TOBACCO PRODUCTS.  A person commits an offense if the person:
(1)  knowingly transports tobacco products subject to the tax under this chapter without the tax being paid;
(2)  wilfully refuses to stop a motor vehicle operated to transport tobacco products after a request to stop from an authorized representative of the comptroller; or
(3)  while transporting tobacco products, refuses to permit a complete inspection of the cargo by an authorized representative of the comptroller.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 409, Sec. 67, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.114, eff. Sept. 1, 1997.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 12, eff. September 1, 2019.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.210. Inspection of Premises

Sec. 155.210.  INSPECTION OF PREMISES.  A person commits an offense if the person refuses to permit a complete inspection by an authorized representative of the comptroller of any premises where tobacco products are manufactured, produced, stored, transported, sold, or offered for sale or exchange or fails to produce, on the comptroller's demand, records required by this chapter.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 409, Sec. 67, eff. June 7, 1991;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.115, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.211. Possession: Tax Due

Sec. 155.211.  POSSESSION:  TAX DUE.  (a)  A person commits an offense if the person possesses, in violation of this chapter, tobacco products on which a tax is required to be paid that has not been paid. The absence of evidence of a tax payment is prima facie evidence of nonpayment.
(b)  This section does not prohibit transportation of tobacco products by a common carrier.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 13, eff. September 1, 2019.
Acts 2019, 86th Leg., R.S., Ch. 894 (H.B. 3475), Sec. 14, eff. September 1, 2019.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.212. Books and Records

Sec. 155.212.  BOOKS AND RECORDS.  A person commits an offense if the person:
(1)  knowingly makes, delivers to, and files with the comptroller a false return or an incomplete return or report;
(2)  knowingly fails to make and deliver to the comptroller a return or report as required by this chapter;
(3)  destroys, mutilates, or conceals a book or record required by this chapter;
(4)  refuses to permit the attorney general or the comptroller to inspect and audit books and records that are required by this chapter or that are incidental to the conduct of the tobacco products business;
(5)  knowingly makes a false entry or fails to make entries in the books and records required by this chapter;  or
(6)  fails to keep books and records for four years as required by this chapter.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1985, 69th Leg., ch. 58, Sec. 43, eff. March 1, 1986;  Acts 1989, 71st Leg., ch. 240, Sec. 90, eff. Oct. 1, 1989;  Acts 1991, 72nd Leg., ch. 409, Sec. 68, eff. June 7, 1991;  Acts 1995, 74th Leg., ch. 1000, Sec. 55, eff. Oct. 1, 1995;  Acts 1997, 75th Leg., ch. 1423, Sec. 19.116, eff. Sept. 1, 1997.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.213. Felony

Sec. 155.213.  FELONY.  An offense under Sections 155.209-155.212 is a felony of the third degree.
Acts 1981, 67th Leg., p. 1684, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 409, Sec. 68, eff. June 7, 1991.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.214. Overlap of Penalties

Sec. 155.214.  OVERLAP OF PENALTIES.  If an offense is punishable under Section 155.208 of this code and also under Section 155.213 of this code, the punishment prescribed by Section 155.213 of this code controls.
Acts 1981, 67th Leg., p. 1685, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter G. Penalties › Section 155.215. Venue for Felony

Sec. 155.215.  VENUE FOR FELONY.  Venue of a prosecution for an offense punishable under Section 155.213 of this code is in Travis County or in the county where the offense occurred.
Acts 1981, 67th Leg., p. 1685, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter H. Allocation of Tax › Section 155.241. Allocation of Tax

Sec. 155.241.  ALLOCATION OF TAX.  Revenue collected under this chapter shall be deposited to the credit of the general revenue fund.
Acts 1981, 67th Leg., p. 1685, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 155 - Cigars and Tobacco Products Tax › Subchapter H. Allocation of Tax › Section 155.2415. Allocation of Certain Revenue to Property Tax Relief Fund and Certain Other Funds

Sec. 155.2415.  ALLOCATION OF CERTAIN REVENUE TO PROPERTY TAX RELIEF FUND AND CERTAIN OTHER FUNDS.  (a)  Notwithstanding Section 155.241, the proceeds from the collection of taxes imposed by Section 155.0211 shall be allocated as follows:
(1)  the amount of the proceeds that is equal to the amount that, if the taxes imposed by Section 155.0211 were imposed at a rate of 40 percent of the manufacturer's list price, exclusive of any trade discount, special discount, or deal, would be attributable to the portion of that tax rate in excess of 35.213 percent, shall be deposited to the credit of the property tax relief fund under Section 403.109, Government Code;
(2)  the amount of the proceeds that is equal to the amount that would be attributable to a tax rate of 35.213 percent of the manufacturer's list price, exclusive of any trade discount, special discount, or deal, if the taxes were imposed by Section 155.0211 at that rate, shall be deposited to the credit of the general revenue fund; and
(3)  100 percent of the remaining proceeds shall be deposited to the credit of:
(A)  the physician education loan repayment program account established under Subchapter J, Chapter 61, Education Code; or
(B)  the general revenue fund, if the comptroller determines that the unencumbered beginning balance of the physician education loan repayment account established under Subchapter J, Chapter 61, Education Code, is sufficient to fund appropriations and other direct and indirect costs from that account for the fulfillment of existing and expected physician loan repayment commitments during the current state fiscal biennium.
(b)  Proceeds deposited in accordance with Subsection (a)(3)(B) may be appropriated only for health care purposes.
Added by Acts 2006, 79th Leg., 3rd C.S., Ch. 3 (H.B. 2), Sec. 4(b), eff. September 1, 2006.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 285 (H.B. 2154), Sec. 16, eff. September 1, 2009.
Acts 2015, 84th Leg., R.S., Ch. 448 (H.B. 7), Sec. 36, eff. September 1, 2015.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter A. Definitions › Section 156.001. Definitions

Sec. 156.001.  DEFINITIONS.  (a)  In this chapter, "hotel" means a building in which members of the public obtain sleeping accommodations for consideration.  The term includes a hotel, motel, tourist home, tourist house, tourist court, lodging house, inn, rooming house, or bed and breakfast.  The term does not include:
(1)  a hospital, sanitarium, or nursing home;
(2)  a dormitory or other housing facility owned or leased and operated by an institution of higher education or a private or independent institution of higher education as those terms are defined by Section 61.003, Education Code, used by the institution for the purpose of providing sleeping accommodations for persons engaged in an educational program or activity at the institution; or
(3)  an oilfield portable unit, as defined by Section 152.001.
(b)  For purposes of the imposition of a hotel occupancy tax under this chapter, Chapter 351 or 352, or other law, "hotel" includes a short-term rental.  In this subsection, "short-term rental" means the rental of all or part of a residential property to a person who is not a permanent resident under Section 156.101.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1993, 73rd Leg., ch. 486, Sec. 5.01, eff. Oct. 1, 1994;  Acts 1995, 74th Leg., ch. 454, Sec. 1, eff. Sept. 1, 1995;  Acts 1995, 74th Leg., ch. 1000, Sec. 56, eff. Oct. 1, 1995.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 566 (H.B. 3182), Sec. 3, eff. September 1, 2011.
Acts 2015, 84th Leg., R.S., Ch. 1255 (H.B. 1905), Sec. 22(a), eff. September 1, 2015.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter B. Tax › Section 156.051. Tax Imposed

Sec. 156.051.  TAX IMPOSED.  (a)  A tax is imposed on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use or possession or for the right to the use or possession of a room or space in a hotel costing $15 or more each day.
(b)  The price of a room in a hotel does not include the cost of food served by the hotel and the cost of personal services performed by the hotel for the person except for those services related to cleaning and readying the room for use or possession.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 2003, 78th Leg., ch. 209, Sec. 28, eff. Oct. 1, 2003.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter B. Tax › Section 156.052. Rate of Tax

Sec. 156.052.  RATE OF TAX.  The rate of the tax imposed by this chapter is six percent of the price paid for a room in a hotel.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1984, 68th Leg., 2nd C.S., ch. 31, art. 5, Sec. 1, eff. Oct. 2, 1984;  Acts 1987, 70th Leg., 2nd C.S., ch. 5, art. 5, Sec. 1.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter B. Tax › Section 156.053. Collection of Tax

Sec. 156.053.  COLLECTION OF TAX.  A person owning, operating, managing, or controlling a hotel shall collect for the state the tax that is imposed by this chapter and that is calculated on the amount paid for a room in the hotel.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter C. Exceptions to Tax › Section 156.101. Exception--Permanent Resident

Sec. 156.101.  EXCEPTION--PERMANENT RESIDENT.  This chapter does not impose a tax on a person who has the right to use or possess a room in a hotel for at least 30 consecutive days, so long as there is no interruption of payment for the period.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1991, 72nd Leg., ch. 328, Sec. 4, eff. Aug. 26, 1991.
2023 Texas Statutes › Tax Code › Title 2 - State Taxation › Subtitle E - Sales, Excise, and Use Taxes › Chapter 156 - Hotel Occupancy Tax › Subchapter C. Exceptions to Tax › Section 156.102. Exception--Religious, Charitable, or Educational Organization

Sec. 156.102.  EXCEPTION--RELIGIOUS, CHARITABLE, OR EDUCATIONAL ORGANIZATION.  (a)  This chapter does not impose a tax on a corporation or association that is organized and operated exclusively for a religious, charitable, or educational purpose if no part of the net earnings of the corporation or association inure to the benefit of a private shareholder or individual.
(b)  For purposes of this section:
(1)  a corporation or association that is organized and operated exclusively for the cleaning of beaches and that has no part of its net earnings inure to the benefit of a private shareholder or individual is organized and operated exclusively for a charitable purpose;  and
(2)  a public or private institution of higher education is organized and operated exclusively for an educational purpose only if the institution is defined as a Texas institution of higher education or as a Texas private or independent institution of higher education under any subdivision of Section 61.003, Education Code.
Acts 1981, 67th Leg., p. 1686, ch. 389, Sec. 1, eff. Jan. 1, 1982.  Amended by Acts 1999, 76th Leg., ch. 1359, Sec. 2, eff. Sept. 1, 1999;  Acts 1999, 76th Leg., ch. 1467, Sec. 2.48, eff. Oct. 1, 1999;  Acts 2001, 77th Leg., ch. 1420, Sec. 18.011, eff. Sept. 1, 2001;  Acts 2003, 78th Leg., ch. 209, Sec. 29, eff. Oct. 1, 2003.