Sam Houston Electric Cooperative has been notified by the Texas Comptroller of Public Accounts, Susan Combs, that House Bill 268 was passed during the 82nd Legislature.
The bill requires that on Jan. 1, 2012, a person claiming an exemption from sales tax on certain items used in the production of agricultural and timber products, including electricity, must provide a registration number issued by the Comptroller of Public Accounts on the exemption certificate issued to the seller.
Producers of agricultural products for sale must provide a completed Texas Agricultural Sales and Use Tax Exemption Certification form to the Co-op when claiming an exemption from sales and use tax on the purchase of qualifying agricultural items.
Similarly, timber producers must provide the Co-op with a completed Texas Timber Operations Sales and Use Tax Exemption Certification to claim the exemption on the purchase of electricity used in the production of timber for sale.
Sam Houston EC has notified all members claiming this type of exemption, and as of Dec. 31, 2011, their tax exemption status will be invalid until they provide their registration number. The exemption certification forms can be found on the Comptroller’s website.
