| (B) The permanent resident exemption ends when an interruption in the right to use or occupy the room or space occurs. (C) Permanent residents are not required to physically occupy a room or space. (D) Permanent residents may have the right to use or occupy different rooms in the same hotel without loss of the permanent resident exemption. (E) The permanent resident exemption applies to the lowest number of rooms in a written notice, agreement, or contract for a range of rooms plus the number of rooms that qualify for the permanent resident exemption under subparagraph (A)(ii) of this paragraph. Attached Graphic (c) Exemption certificate. (1) Any organization or individual claiming exemption from the payment of hotel occupancy tax must furnish the hotel with a signed exemption certificate. (2) The rental of a room or space in a hotel is exempt from tax if the person required to collect the tax receives, in good faith from a guest, a properly completed exemption certificate stating that the guest qualifies for exemption under Tax Code, §156.102 or §156.103 or other law. The exemption certificate must be supported by the following documentation: (A) for persons traveling on official business of the federal government, a valid government identification card; (B) for state officials exempted by Tax Code, §156.103(d), a Hotel Tax Photo Identification Card, as described in subsection (b)(2)(A) or (B) of this section; (C) for diplomatic personnel of a foreign government, the appropriate Tax Exemption Card issued by the United States Department of State; (D) for persons traveling on official business of a charitable, educational, or religious organization, as defined in subsection (a)(1), (2) or (6) of this section: (i) a letter of hotel tax exemption issued by the Comptroller of Public Accounts; or (ii) verification that the organization is on the comptroller's list of entities that have been provided a letter of exemption; such as, a printed copy of the Comptroller of Public Accounts Internet Web site listing the organization as exempt for hotel tax. (E) For persons traveling on official business of an organization exempt by law other than Tax Code, Chapter 156: (i) a letter of hotel tax exemption issued by the Comptroller of Public Accounts; or (ii) verification that the organization is on the comptroller's list of entities that have been provided a letter of exemption. (F) The manner of payment by an employee of an exempt organization does not affect the exemption. To claim an exemption a nonemployee traveling on behalf of an exempt organization must pay the hotel directly with the organization's funds, by organization check, organization credit card, or direct billing to the organization by the hotel. (3) A hotel claiming exemption of its receipts from hotel occupancy tax must provide proof that the receipts were exempt, either through exemption certificates or other competent evidence. (4) Certain entities that are exempt from hotel tax may be issued identification numbers for administrative purpose only. The comptroller may issue a tax number to an entity that is not exempt from Hotel Tax, and a tax number does not guarantee that an organization is exempt from Hotel Tax. An organization is not required to provide an identification number on the Hotel Tax Exemption Certificate. (5) The exemption certificate must be substantially in the form provided by the Comptroller of Public Accounts and include: (A) name and address of the exempt organization; (B) qualification for exemption under Tax Code, §156.102 or §156.103 or other law; and (C) name and signature of the occupant or, when the exempt organization issues the certificate, the name and signature of an authorized representative. (6) Copies of the certificate may be obtained from the Comptroller of Public Accounts, P.O. Box 13528, Austin, Texas 78711-3528 or requested by calling 512-463-4600 or our toll-free number 1-800-252-1385. Taxpayers may download copies at www.window.state.tx.us. (d) Exclusions. (1) Dormitories and other housing facilities owned or leased and operated by institutions of higher education as defined in subsection (a)(2) of this section and used to provide sleeping accommodations for persons engaged in educational programs or activities at the institutions are excluded from the definition of a hotel in Tax Code, §156.001, and their rentals are not subject to tax. Hotels owned or leased and operated by institutions of higher education, however, are not excluded and their rentals are subject to tax. (2) Private clubs as defined in subsection (a)(5) of this section do not collect tax on rentals of rooms to members. Tax is due, however, on the rental of rooms to nonmembers. An organization is not a private club and must collect hotel occupancy tax on rentals of rooms to members and nonmembers if the organization: (A) does not provide members entertainment, recreation, sport, dining, social facilities, or other significant club amenity in addition to lodging; (B) does not assess membership dues, initiation fees and other charges, assessments, and fees for special privileges or status not available to the general public; and (C) the rental of a room is not insignificant to the purpose or purposes of the organization. |
| Source Note: The provisions of this §3.161 adopted to be effective December 6, 1996, 21 TexReg 11493; amended to be effective August 12, 1998, 23 TexReg 8182; amended to be effective March 16, 2000, 25 TexReg 2155; amended to be effective January 7, 2003, 28 TexReg 354; amended to be effective June 1, 2004, 29 TexReg 5413; amended to be effective November 23, 2009, 34 TexReg 8337 |
