Enrolled Bill Summary

            House Bill 1098 amends Tax Code provisions relating to the applicability of the sales and use tax to materials that are produced by web offset or rotogravure printing processes. It establishes a rebuttable presumption that if the post office distributes printed materials to recipients other than the purchaser who buys them from the printer, then they are for use in Texas, and the printer must collect the tax, if the purchase occurs in Texas or the materials are produced at a Texas printer's facility. The bill establishes procedures by which the purchaser may overcome the presumption by issuing to the printer an exemption certificate that states that the printed materials are for multistate use and that the purchaser agrees to pay all taxes that are due to this state. An exemption certificate relieves the printer of the obligation to collect taxes, but the printer is still required to file a special use tax report.