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Texas Comptroller Affirms Sales Tax Audit Assessment Against Seller of Landscaping Services, Related Products – kechambers

Texas Comptroller Affirms Sales Tax Audit Assessment Against Seller of Landscaping Services, Related Products

July 15, 2022, 5:00 AM

The Texas Comptroller of Public Accounts June 17 adopted an Administrative Law Judge’s (ALJ) recommendation upholding a sales and use tax audit assessment against Taxpayer, a seller of landscaping services and related products. The Tax Division (staff) audited Taxpayer’s business and assessed tax, a late penalty limited to the late payment, and interest. Taxpayer requested redetermination, contending that the audit erroneously assessed tax on nontaxable hardscaping sales, new residential construction, and asset purchases. The staff asserted Taxpayer failed to prove the audit error. The ALJ found: 1) the staff’s evidence demonstrated that the items assessed were taxable services and purchases …

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