Tax News

CCH (cch.taxgroup.com) reports:

The Supreme Court of Texas has affirmed an appellate court's decision holding that the calculation of the Texas retaliatory tax on two out-of-state title insurance companies did not violate the Equal Protection Clause of the U.S. or Texas Constitution.
During the period relevant to the instant case, the Texas Department of Insurance allowed title agents to remit 85% of the premium tax to title insurers. Thus, only 15% of the premium tax was directly imposed on the insurers. The Texas Comptroller of Public Accounts has determined that insurers may only count 15% of the premium tax paid as their financial burden when determining the amount of retaliatory tax due.