Sales/Use/Indirect:
Texas: Letter Ruling Addresses Car-Sharing Platform and Motor Vehicle Gross Rental Receipts Taxation
Letter No. 202207023L, Tex. Comptroller of Public Accounts (7/15/22). In a matter involving an out-of-state headquartered “peer-to-peer car sharing platform” and whether it is responsible for collecting and remitting motor vehicle gross rental receipts tax imposed by Texas Tax Code Chapter 152, the Texas Comptroller of Public Accounts (Comptroller) explained that an owner of a motor vehicle generally is responsible for collecting the tax on charges for the rental of its vehicle to another. However, the car-sharing platform in this case was not the owner of the vehicles listed on the platform and thus was not responsible for collecting such tax. Rather, according to the Comptroller, persons listing vehicles on the platform are considered the owners of the motor vehicles and are required to collect and remit applicable Texas tax on their gross rental receipts received for the rental of their motor vehicles. Please contact us with any questions.
30 Rockefeller Plaza New York, NY 10112-0015 United States
About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities (collectively, the “Deloitte organization”). DTTL (also referred to as “Deloitte Global”) and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more.
