_ Comptroller Rule Draft on Letter Rulings The Comptroller’s Office has shared with us a draft of a new rule they are considering relating to the acquisition and use of letter rulings from the agency. Under the draft rule, two types of letters would be established: A general information letter. This letter would provide guidance…

Comptroller Draft Franchise Tax Rule Clarifies Flow-Through Exclusion of Taxes The Comptroller’s Office has drafted a rules change concerning the franchise tax calculation of total revenue. The draft has been provided to TTARA for informal comment prior to sending it for publication in the Texas Register. The draft rule would more directly state which types…

Supreme Court Hears Second Margin Tax Challenge This morning Nestle USA, Switchplate LLC, and NSMBA LP presented oral argument on their claim that the franchise tax violates the equal and uniform clause of the Texas Constitution and the due process, equal protection, and commerce clauses of the U.S. Constitution. Their argument centered on a contention…

Franchise Tax Meeting Agenda and Handouts Now Available For those of you who want to get ahead of the curve, the agenda and handouts for tomorrow’s franchise tax meeting are now available on our website. The meeting will begin at 10:00 a.m. in the 3rd floor auditorium of the Wells Fargo Bank Building at 400…

State Revenues: Good News Getting Better Comptroller Susan Combs this week released her “certification” revenue estimate. Technically, these numbers are those that were used to certify the budget, but since many months have passed, the figures are really an update reflecting her current thoughts about the economy. The news was all good. Buoyed by a…