Are charges for boat lift and boat ramp services — used to launch and reload boats — taxable amusement services in Texas?

Plain-English summary

A boat-launch operator asked the Comptroller to confirm that its boat lift and boat ramp services are not taxable amusement services under Rule 3.298. The operator described two services:

• A boat lift — a hoist, run by an operator, used to lift customers' boats for launching and re-loading.
• Boat ramp services — charges for letting customers use the operator's ramp to launch and load their boats onto trailers.

The Comptroller confirmed that both services are not taxable amusement services under the sales tax law. Helping customers get their boats into and out of the water is not amusement; it is a launch/loading service that falls outside the taxable-service categories.

What this means for you

Marinas and boat-launch operators

Charging customers to lift or ramp their boats into and out of the water is not a taxable amusement service in Texas. The activity is a functional launch/load service, not entertainment, so these charges are not subject to sales tax under Rule 3.298.

Distinguish from taxable add-ons

This ruling covers the lift and ramp charges themselves. If you separately sell taxable items or taxable services (for example, tangible goods or a service the Tax Code lists as taxable), analyze those on their own terms — the nontaxable treatment here is specific to the boat lift and ramp services described.

Common questions

Q: Is a charge to use a boat ramp taxable in Texas?
A: No. Charges for boat ramp services to launch and load boats onto trailers are not taxable under the sales tax law.

Q: What about an operator-run boat lift?
A: Also not taxable. Using a hoist with an operator to lift customers' boats for launching and re-loading is not a taxable amusement service under Rule 3.298.

Q: Why aren't these amusement services?
A: They are functional launch and loading services, not entertainment, so they fall outside the taxable amusement-services category.

Q: Can I rely on this 1988 letter for my own operation?
A: Treat it as guidance only. It is based on the specific facts presented and can change with different facts; on the STAR system it binds the Comptroller only as to the taxpayer it was issued to and may no longer reflect current policy.

Citations and references

Rules:

• 34 Tex. Admin. Code Rule 3.298 (amusement services)

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/8809L0911B14

Original ruling text

COMPTROLLER OF PUBLIC ACCOUNTS
STATE OF TEXAS
AUSTIN, TEXAS 78774

September 28, 1988

Dear **:

Thank you for your recent letter requesting confirmation that your
boat lift and boat ramp services are not taxable as amusement ser-
vices under Rule 3.298.

You told me in our September 28, 1988 telephone conversation that
you use your lift (hoist with an operator) to lift customers'
boats (for launching and re-loading). The boat ramp services are
charges for allowing customers to use your ramp for launching and
loading their boats on trailers.

The boat lift and boat ramp services are not taxable services un-
der the sales tax law.

This opinion is based on the facts presented. If there are addi-
tional or different facts, the opinion may change.

If you have any questions or need additional information, you may
call our toll-free number 1-800-252-5555, ext. 3-4683. The regu-
lar number is 512/463-4600. You may write me at Tax Correspon-
dence, Comptroller of Public Accounts.

Sincerely,
Eddie C. Washington
Tax Correspondence