I. Title
Assessment, Collection, and Depositing Sales Tax Procedure
II. Objective
N/A
III. Scope
N/A
IV. Procedure
A. Texas Limited Sales, Excise and Use Tax
- The Texas Limited Sales, Excise and Use Tax Act imposes a tax on the sale, lease or rental of tangible personal (touchable, moveable) property and on certain specified services. The state sales tax rate is 6.25%. Arlington local taxes of 1.75% combine with this for a total sales tax rate of 8.0%. In general, the Texas sales tax is imposed on the “sales price” (amount for which the item is sold including labor, materials, overhead, transportation) of each “sale” of a “taxable item” in Texas. The tax is not imposed when an exemption from the tax applies, meaning the purchaser would present UTA with a properly completed UTA Form BF-AS-F-01 Texas Sales and Use Tax Exemption Certification.
- When sales tax is collected, it is deposited to the same cost center as the revenue generated from the sale. General ledger account 20218 must be used for the sales tax portion of the deposit. The sales tax remittance to the State of Texas is processed by Accounting Services.
- If you have questions regarding the assessment and collection of sales tax, please call Accounting Services at 817-272-1541.
V. Definitions
N/A
VI. Relevant Federal and State Statutes
N/A
VII. Relevant UT System Policies, Procedures and Forms
UTA Form BF-AS-F-01 Texas Sales and Use Tax Exemption Certification
VIII. Who Should Know
(Information not explicitly listed in provided content)
IX. UTA Office(s) Responsible for Procedure
- Responsible Officer: Vice President for Business Affairs and Controller
- Sponsoring Department: Accounting Services
X. Dates Approved or Amended
August 24, 2015
XI. Contact Information
All questions regarding this policy should be directed to Accounting Services: acctservices@uta.edu.
Send notifications of errors or changes to: policysite@uta.edu