Texas Comptroller of Public Accounts    STAR System


     9008L1038E08
      COMPTROLLER OF PUBLIC ACCOUNTS
      STATE OF TEXAS
      AUSTIN, TEXAS  78774
      BOB BULLOCK
      Comptroller				August 20, 1990
      
      *********************
      *********************
      *********************
      
      Dear *****:
      
      You wrote to us requesting more information about sales tax
      on waste removal.  More specifically, you asked about indus-
      trial solid waste.   Thank you for  your patience  as we've 
      struggled to define that term.
      
      As much  as we hate to  refer folks to  another statute, it
      seems to be the most reasonable way to define  such a term.
      We will  use the definition of industrial solid waste found
      in the Texas Solid Waste Disposal Act.
      
      That means  industrial solid waste is waste  resulting from
      any process of manufacturing, mining or agricultural opera-
      tions.  But it does not include liquid or semi-liquid waste 
      which is subject to the Texas Water Quality Act. And it does 
      not include waste from service industries, retail establish-
      ments,  or manufacturing support  activities such as office 
      waste and shipping refuse.
      
      Since liquid waste doesn't fall under the definition of in-
      dustrial solid waste,  the collection and disposal of your
      liquid waste will be taxable unless  the waste falls under
      the definitions in (A)  or  (D) on page 2  of the enclosed 
      Rule 3.356.
      
      Collecting some waste is taxable and collecting other kinds
      of waste is not taxable.  If your collector does both, you
      should give the collector an exemption certificate stating
      that you are buying  taxable and non-taxable waste collec-
      tion services and you will  pay tax on the taxable portion
      directly to the Comptroller.
      
      Then determine the percentage of waste that represents tax-
      able waste collection and  report and pay tax to us on the
      charge for taxable waste collection.
      
      Thanks again for your patience.
      
      If you have any questions or need more information, please
      call me.   The toll-free number is 1- 800- 531- 5441.  The
      regular number is 512/463-4614.  Or you may write me at the
      Taxability Section of Legal Division. [(fax) 512-475-0900]
      
      Sincerely,
      Adina Whittemore
      Taxability
      Legal Division
      
ACCESSION NUMBER: 9008L1038E08 
SUPERSEDED: N 
DOCUMENT TYPE: L 
DATE: 08/01/1990
TAX TYPE: SALES