The Texas sales and use tax rule on records and information required to be kept by sellers and purchasers has been updated to conform to previous legislation. The revised rule reflects that all sellers, and other persons that store, use, or consume taxable items purchased from a seller, must keep records of all gross receipts and taxes received or collected on each transaction.
In addition, taxpayers must keep records for a minimum of four years and throughout any period in which any tax, penalty, or interest may be assessed, collected, or refunded by the comptroller, or in which an administrative hearing or judicial proceeding is pending.
The rule also reflects a new criminal penalty for knowingly failing to produce, upon a request by the comptroller, records that document a taxpayer’s sale of beer, wine, or malt liquor, cigarettes, or cigars and tobacco products that were obtained using a resale certificate.