Texas Comptroller of Public Accounts    STAR System


9205R1166E14



STAR SUPERSEDED WITHOUT SUMMARY 

Accession No.(s): 9205R1166E14

Document superseded on: 08/15/2013 



STATE OF TEXAS
COMPTROLLER OF PUBLIC ACCOUNTS
FRANCHISE TAX


Rule 3.566. Title Insurance Holding Companies.

(a) Controlled company. For franchise tax purposes controlled company has the 
same meaning as defined in the Insurance Code, Article 21.49-1.

(b) Eligibility. A title insurance holding company that is subject to the 
Insurance Code, Article 21.49-1, and which controls one or more domestic title 
insurance companies that are subject to the tax on premiums under the Insurance 
Code, Article 9.59, is entitled to a credit against the franchise tax imposed 
by the Tax Code, Chapter 171.

(c) Calculation of the credit.

(1) The credit for each controlled domestic title company is computed by 
multiplying the amount of tax on premiums paid by that company in the most 
recent calendar year ending before the franchise tax report is due, by the 
percentage of ownership of the title insurance holding company in the 
controlled domestic title insurance company.

(2) The percentage of ownership of a controlled domestic title insurance 
company is determined as of the accounting year-end upon which taxable capital 
is based.

(d) Limitations.

(1) No portion of a credit may be used on a report for another period. 

(2) A corporation may not take credit for the same tax on premiums more than 
once.

(e) Effective date. The tax credits provided by the Insurance Code, Article 
9.59, apply to the reporting and calculation of franchise taxes for each 
initial, second, and regular annual period beginning on or after January 1, 
1990.


Effective Date: May 4, 1992
Filed with Secretary of State: April 13, 1992







ACCESSION NUMBER: 9205R1166E14   
SUPERSEDED: Y 
DOCUMENT TYPE: R 
DATE: 05/04/1992
TAX TYPE: FRANCHISE