Can a customs broker's exportation certificate list extra items on the back of the form or on an attached addendum sheet, and will a cash register receipt work as export documentation?

Plain-English summary

This 1993 Comptroller letter answers two related questions about proving that goods sold in Texas were exported to Mexico so the sale can qualify for the export exemption from sales tax.

First, the taxpayer had submitted a cash register receipt (faxed, and blurry in transmission) as evidence tying a sale to an export. The Comptroller said that alone wasn't good enough: under Rule 3.323(d)(4), export documentation has to let an auditor trace it back to the original taxable transaction, and the seller must keep the original invoice. A cash register receipt that doesn't itemize exactly what was purchased doesn't meet that bar — and if a refund is given based on undocumented or improperly documented exports, the Comptroller can assess the tax back against the seller.

Second, the taxpayer asked a practical question: what if the items on a broker's exportation certificate ("brokers form") don't all fit on the front of the form — can the extra items go on the back, or does the broker need a separate addendum sheet? The answer was yes to both: the back of the form can list overflow items (and invoice numbers, if the broker signs off on them), or the broker can attach a separate addendum sheet. Either way, the additional page must be signed by the broker, note that it continues the original document, and include the original form's number.

What this means for you

Retailers selling goods for export to Mexico

Don't rely on a bare cash register receipt to document an export sale — keep and provide the original, itemized invoice. If the documentation is unclear or doesn't specifically describe what was sold, a refund granted on that basis can be assessed back against you as the seller in a later audit.

Customs brokers completing exportation certificates

If a shipment has more items than fit on the front of the standard certificate, you can use the back of the form or attach a separate addendum sheet — but only if you sign it, mark it as a continuation of the original certificate, and reference the original form's number. An unsigned or unlinked addendum won't count.

Accountants and tax professionals

This letter illustrates the documentation chain the Comptroller expects for the border/export sales tax exemption: a detailed original invoice tying the sale to the item, plus a properly completed and (if extended) properly continued exportation certificate. Gaps in either link can cost the seller the exemption on audit.

Common questions

Q: Is a cash register receipt enough to prove an item was exported?
A: Not by itself. Under Rule 3.323(d)(4), the seller must keep the original invoice, and any documentation used to tie a sale to an export must specifically and clearly describe the items purchased. A receipt that's illegible or doesn't itemize the goods won't satisfy that requirement.

Q: What happens if my export documentation isn't sufficient and a refund was already given?
A: Refunds made on undocumented or improperly documented export exemptions can be assessed against the seller.

Q: Can a broker list extra items on the back of the exportation certificate?
A: Yes. The back of the form may be used for additional items, and the broker may also list invoice numbers there and make them part of the certification by signing the invoices.

Q: What if there are too many items even for the back of the form?
A: The broker may attach a separate addendum sheet. It must be signed by the broker, note that it's a continuation of the original document, and include the original document's form number.

Citations and references

Statutes and rules:

• Comptroller Rule 3.323(d)(4) (export documentation — auditor must be able to tie export documents to the original taxable transaction; insufficiently detailed records, like undocumented cash register receipts, don't qualify)

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9301L1217E14

Original ruling text

January 26, 1993

Dear ****:

Thank you for your recent letter regarding the use of cash register
receipts in proving that items have been exported to the republic of
Mexico.

Rule 3.323(d)(4) states:

(4) In an audit, the auditor must be able to tie the export documents
to the original taxable transaction. The seller must retain the
original invoice of the sale. Cash register receipts and other records
of the original taxable transaction that do not include a detailed,
specific description of the items purchased are not sufficient to tie
the export documents to the original taxable transaction. Refunds made
pursuant to undocumented or improperly documented export exemptions will
be assessed against the seller.

The cash register receipt you gave ** was FAXed to me and was
obscured in transmission, but, it does not appear to provide a detailed
description of the items purchased and thus is not usable as export
documentation.

You also asked:

"If the items listed on the brokers form do not fit in the front can we
accept the form if the other items are listed on the back or do they need
additional sheets? If additional sheets are needed do they also need to
have a stamp?

Response: The back of the form may be used to list additional items that
will not fit on the front. The broker may also list the invoice numbers
on the sheet and make them part of the certification if he or she signs
the invoices. The broker may attach an addendum sheet if necessary. The
sheet must be signed by the broker, include a notation that it is a
continuation of the original document, and include the form number of the
original document.

This opinion is based on the facts you submitted. Other facts, though
similar, may yield different results.

If you have questions or need more information please call or write. You
may reach me by calling toll free, (800) 531-5441 (ext. 34680). My
direct line number is (512) 463-4680. The number for FAX transmissions
is (512) 475-0900. You may write to me in care of Tax Administration
Division.

Sincerely,

Al Van Allen
Tax Administration Division