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Ezel / Tax Rulings / TX
TX 7904L2023A06 Motor Vehicle Tax 1979-04-10

Was an organization properly formed under former Texas electric-cooperative law exempt from motor vehicle sales tax?

Short answer: Yes. The Comptroller determined that an organization properly formed under former Texas Revised Civil Statutes article 1528b was exempt under section 30 from the motor vehicle sales tax imposed by former article 6.01(1). The office said it would honor the organization's refund request.

Apply this to your situation

This page answers the general question as of 1979. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1979
Subsequent statutory amendments, regulation changes, court decisions, or later rulings may have changed the analysis. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, rate, or position mentioned here.
Disclaimer: This is an April 10, 1979 taxpayer-response letter applying former Texas Revised Civil Statutes article 1528b, section 30, and former Texas Tax-General Annotated article 6.01(1). Electric-cooperative formation law, exemptions, motor vehicle tax, refund procedures, and organization-status requirements may have changed. The determination depended on the organization's proper formation under the cited former statute. STAR documents may no longer represent current policy even when not marked superseded. Organization details are redacted. This summary is informational only and is not legal or tax advice.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official state tax ruling. The original ruling (linked on this page) is the authoritative source for any reliance.

Plain-English summary

The organization was exempt from historical motor vehicle sales tax because it was properly formed under the cited electric-cooperative statute.

The letter applied section 30 of former Texas Revised Civil Statutes article 1528b against the tax imposed by former Texas Tax-General Annotated article 6.01(1).

Based on that status, the Motor Vehicle Sales Tax Division also said a request to refund motor vehicle sales tax already paid by the organization would be honored.

What this means for you

The exemption depended on the organization's legal formation under the specific former cooperative statute, not merely on performing electric-related activities.

Common questions

Q: Was the cooperative exempt from the motor vehicle sales tax?
A: Yes.

Q: Would the Comptroller honor a refund request?
A: The letter said it would.

Citations and references

  • Texas Revised Civil Statutes Annotated art. 1528b, § 30
  • Texas Tax-General Annotated art. 6.01(1)

Source

Original ruling text

April 10, 1979

RE:**

Dear Mr. **:

Thank you for your memorandum of April 2, 1979, explaining the activities of
the **, and for your patience and assistance in determining the
proper status of this organization for motor vehicle tax purposes.

As I informed you yesterday by telephone, we have determined that the
**, properly formed under the **, TEX. REV. CIV. STAT.
ANN. Art. 1528b, is exempted by 30 of that article from the motor vehicle
sales tax imposed by TEX. TAX.-GEN. ANN. Art. 6.01(1). I have accordingly
informed Mr. ** that a request for a refund of motor vehicle sales
tax paid by that organization will be honored.

I appreciate your cooperation in this matter, and that of Mr. **,
and I will be happy to discuss with you any aspect which may remain unclear.

Sincerely,

Patricia Brockway
Division Attorney
Motor Vehicle Sales Tax Division

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