Untitled Texas Attorney General Opinion

THEA%TORNEY GENERAL
QF TEXAS
AUSTIN IL TExas
February 14, 1963
\
Mr. Prank Y. Vance. Opinion No. C-15
County Attorney
Medina County Re: Liability of a county for
Hondo, Texas the state and federal
excise tax on gasoline.
Dear Mr. Vance:
You ask whether gasoline purchased by Medlna County
and used exclusively by it is subject to the state and federal
excise tax on gasoline.
Our answer is that such gasoline is subject to the
state excise tax and that it is not subject to the federal
excise tax.
The state excise tax on gasoline is imposed by
Chapter 9 of Title 122A, Taxation-Qeneral, Revised Civil
Statutes. The very broad and specific provisions of these
statutes make clear that the Legislature did not Intend to
exempt from this tax the motor fuel purchased by the State
and its political subdivisions. Article 9.02 (1) Imposes
the tax upon every "purchaser or recipient". The definition
of "first sale" in Article 9.01 (10) is not restricted to any
particular kind of "purchaser or recipient". The opinion of
;f;E??;rAttorney General, NO. ~11-1502 (lg62), held to this
. A copy of this opinion is herewith enclosed.
II.
The federal excise tax on gasoline is imposed by
26 U.S.C.A., Section 4081(a); 75 Stat. 123, Pub. L. 87-61,
Title II, Sec. 201(b)-(d), June 29, 1961.Congress fu;ther
provided that the tax should not be imposed on a sale . . .
to a State or local government for the exclusive use of a
State or local government, . . .'. 26 U.S.C.A., Section
4221(a) (4); 75 Stat. 126, Pub. L. 87-61, Title II, Sec.
205(a), June 29, 1961.Subsection (d) (4) of Section 4221
states that "The term 'State or local government' means any
State, any political subdivision thereof, or the District
of Columbia."
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Mr. Frank X. Vance, Page 2 (Opinion No. C-15 )
Counties are political subdivisions of the State.
Limestone County v. Robblns, 120 Tex. 341, 38 S.W.2d 580
11931).
SUMMARY
A county which purchases gasoline for
its own exclusive use must pay the state excise
tax thereon, but is not subject to the federal
excise tax on such gasoline.
Very truly yours,
WAGGONER CARR
Attorney General of Texas
WEA:pw
Enclosure
APPROVED:
OPI,NIONCOMMITTEE
W. V. Geppert, Chairman
H. Grady Chandler
Brady Coleman
Gilbert Hargrave
Robert T. Lewis
APPROVED FOR THE ATTORNEY GENERAL
By: Stanton Stone
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