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Ezel / Tax Rulings / TX
TX 9811975L Motor Vehicle Tax 1998-11-12

Did Texas motor vehicle tax or limited sales tax apply to truck-mounted concrete pumps sold as a unit or installed on a customer's truck?

Short answer: A heavy-duty truck and installed concrete pump sold together in one transaction were entirely subject to motor vehicle sales and use tax, with no portion under limited sales tax. If the seller sold only the pumping equipment for attachment to a truck supplied by the retail customer, limited sales tax applied to the pump sale.

Apply this to your situation

This page answers the general question as of 1998. Ezel answers yours, under current Texas tax law, with citations.

Currency note: this ruling is from 1998
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 official Texas Comptroller letter issued on the specific concrete-pump sale structures presented. It dates from 1998, predates modern Private Letter Ruling reliance terms, and cannot be treated by unrelated taxpayers as binding protection. Motor vehicle definitions, attached-accessory treatment, limited sales tax, and installation rules may have changed, so verify current Texas law. Taxpayer-identifying 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 Texas Comptroller gave different results for a completed truck-mounted concrete pump and a pump sold separately for installation.

When the seller bought a heavy-duty truck, installed concrete pumping equipment, and sold the combined unit in one transaction, the entire package was subject to motor vehicle sales and use tax. No part of that combined sale was subject to limited sales tax.

When the seller sold only the pumping equipment and attached it to a truck supplied by the retail customer, limited sales tax applied to the pumping-equipment sale.

The letter said this position reflected the cited-but-unidentified statutes and rules and several administrative hearing decisions.

What this means for you

Concrete pumping companies and equipment manufacturers

Who supplied the truck and whether the pump and truck were sold in one transaction controlled the historical tax classification.

Truck dealers

A truck designed to carry property on public highways remained a motor vehicle when sold with the pump accessory attached.

Construction contractors

Buying only the pump for installation on a customer-supplied truck produced limited sales tax rather than the combined motor vehicle result.

Common questions

Q: How was a completed truck-mounted pump taxed?

A: Entirely under motor vehicle sales and use tax.

Q: Did any part of the combined unit bear limited sales tax?

A: No.

Q: When did limited sales tax apply?

A: When only the pump was sold and attached to the retail customer's truck.

Citations and references

  • The letter referred to statutes, rules, and administrative hearings without identifying them.

Source

Original ruling text

November 12, 1998

Dear **:

Thank you for your letter concerning the taxability of the **
concrete pumping units.

Briefly stated, the situation is that ** purchases heavy-duty
trucks (motor vehicles designed to carry property on the public highway) from
truck manufacturers and installs ** concrete pumping equipment on
the truck. ** then sells the motor vehicle with the pump accessory
attached to the truck to their customer as a single unit in a single
transaction.

I agree with your analysis with minor language added. The sale of trucks
(designed to transport persons or property on the highway) with installed
truck-mounted concrete pumping equipment sold by ** is subject to
Texas motor vehicle sales/use tax. No portion of the combined units (motor
vehicle with accessory attached) sold in a single transaction is subject to the
Limited Sales Tax. Limited sales tax is due on the sale of pumping equipment
sold by itself that is attached to a truck provided by the retail customer.

This position is based on not only the statute and rules your referenced but it
has consistently been the decision made in several administrative hearings.

This opinion is based on the information presented. If there are additional or
different facts, the opinion could change.

Sincerely,

Curt Swenson
Tax Policy Division

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