200906353L


From: Curt Swenson 
Sent: Tuesday, June 30, 2009 12:30 PM
To: *******  
Subject: FW: "Cash for Clunker" 



June 30, 2009

***********
***********
***********

Dear ***********:

We spoke concerning the new federal Car Allowance Rebate System (“Cash for 
Clunkers’).

It has been determined that the amount of the rebate/voucher received by the 
selling new car dealer through the Car Allowance Rebate System, is not subject 
to Texas motor vehicle sales tax.

The dollar amount should be shown on the “trade-in” line 21(b) of the 
Application for Certificate of Title (form 130-U) and the vehicle should be 
identified on line 20. If an additional motor vehicle is traded in to the 
dealer, the amounts should be combined and the total indicated on line 21(b).

Dealers should retain documentation in their usual records showing that the 
funds were received through this program.

Please give me a call with any questions.

Sincerely,
Curt Swenson
Tax Policy Division  


ACCESSION NUMBER: 200906353L  
SUPERSEDED: N 
DOCUMENT TYPE: L  
DATE: 06/30/2009  
TAX TYPE: MOTOR VEHICLE