Texas – Requests for Private Letter Rulings and General Information Letters

2/20/2013

SALT Report 2171 – The Texas Comptroller recently adopted Rule 3.1 which describes how the Comptroller will respond to written requests for guidance regarding tax laws, rules, and policies. To familiarize taxpayers with the Rule, the Comptroller created a webpage that summarizes the procedures that must be followed when submitting a request.

In most cases, the Comptroller will issue a general information letter in response to a request for taxability information. The Comptroller’s response will refer the taxpayer to various resources, such as an administrative rule, a publication, or a Frequently Asked Question to answer the question.

A private letter ruling, on the other hand, is the Comptroller’s written decision regarding the application of tax laws, rules, and policies specific to a taxpayer’s set of facts. When submitting a request for a private letter ruling, taxpayers are urged to check Rule 3.1 to make sure that all the requirements for requesting a private letter ruling have been met, as the information on the web page is not intended to be a substitute for the rule.

The new webpage also discusses how to request a private letter ruling, types of acknowledgements the state will provide for private letter ruling requests, and situations in which a private letter ruling will not be issued.

For Further Information

Texas Comptroller of Public Accounts – Rule 3.1 Webpage