Tex. Tax Code § 171.1055 · Subchapter C. DETERMINATION OF TAXABLE MARGIN; ALLOCATION AND APPORTIONMENT
EXCLUSION OF CERTAIN RECEIPTS FOR MARGIN APPORTIONMENT.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) In apportioning margin, receipts excluded from total revenue by a taxable entity under Section 171.1011 may not be included in either the receipts of the taxable entity from its business done in this state as determined under Section 171.103 or the receipts of the taxable entity from its entire business done as determined under Section 171.105.
(b) In apportioning margin, receipts derived from transactions between individual members of a combined group that are excluded under Section 171.1014(c)(3) may not be included in the receipts of the taxable entity from its business done in this state as determined under Section 171.103, except that receipts ultimately derived from the sale of tangible personal property between individual members of a combined group where one member party to the transaction does not have nexus in this state shall be included in the receipts of the taxable entity from its business done in this state as determined under Section 171.103 to the extent that the member of the combined group that does not have nexus in this state resells the tangible personal property without substantial modification to a purchaser in this state. "Receipts ultimately derived from the sale" means the amount paid for the tangible personal property by the third party purchaser.
(c) In apportioning margin, receipts derived from transactions between individual members of a combined group that are excluded under Section 171.1014(c)(3) may not be included in the receipts of the taxable entity from its entire business done as determined under Section 171.105.
Notes and commentary — not statutory text
History
Amended by:
Acts 2006, 79th Leg., 3rd C.S., Ch. 1 (H.B. 3), Sec. 5, eff. January 1, 2008.
Acts 2007, 80th Leg., R.S., Ch. 1282 (H.B. 3928), Sec. 21, eff. January 1, 2008.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/TX/htm/TX.171.htm
- Text hash
- sha256 bb89ec5a48e90370846f013f9d342b95fdb595d5be70c37c3179844100c4f38d
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Tax Code
- Tex. Tax Code § 171.1011DETERMINATION OF TOTAL REVENUE FROM ENTIRE BUSINESS.Printed as Section 171.1011
- Tex. Tax Code § 171.1014COMBINED REPORTING; AFFILIATED GROUP ENGAGED IN UNITARY BUSINESS.Printed as Section 171.1014(c)(3)
- Tex. Tax Code § 171.103DETERMINATION OF GROSS RECEIPTS FROM BUSINESS DONE IN THIS STATE FOR MARGIN.Printed as Section 171.103
- Tex. Tax Code § 171.105DETERMINATION OF GROSS RECEIPTS FROM ENTIRE BUSINESS FOR MARGIN.Printed as Section 171.105
Cited by 4 provisions
Provisions in this library whose text cites Tex. Tax Code § 171.1055. Each shows the citation as that text prints it.
Tax Code
- Tex. Tax Code § 171.1014COMBINED REPORTING; AFFILIATED GROUP ENGAGED IN UNITARY BUSINESS.Printed as Sections 171.103, 171.105, and 171.1055
- Tex. Tax Code § 171.103DETERMINATION OF GROSS RECEIPTS FROM BUSINESS DONE IN THIS STATE FOR MARGIN.Printed as Section 171.1055
- Tex. Tax Code § 171.105DETERMINATION OF GROSS RECEIPTS FROM ENTIRE BUSINESS FOR MARGIN.Printed as Section 171.1055
- Tex. Tax Code § 171.106APPORTIONMENT OF MARGIN TO THIS STATE.Printed as Section 171.1055
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.