Texas Comptroller of Public Accounts
Form
50-244
Dealer’s Motor Vehicle Inventory Declaration
CONFIDENTIAL
GENERAL INSTRUCTIONS: This declaration is for a dealer of motor vehicles to declare motor vehicle inventory pursuant to Tax Code Section 23.121. File
a declaration for each business location.
ALTERNATIVE ELECTION: Effective Jan. 1, 2014, certain dealers of motor vehicle inventory may elect to le renditions under Tax Code Chapter 22, rather
than le declarations and t
ax statements under Tax Code Chapter 23. Tax Code Section 23.121(a)(3) allows a dealer to make this election if it (1) does
not sell motor vehicles that are self-propelled and designed to transport persons or property on a public highway; (2) meets either of the following two
requirements: (a) the total annual sales from the inventory, less sales to dealers, eet transactions, and subsequent sales, for the preceding tax year are 25
percent or less of the dealer’s total revenue from all sources during that period, or (b) the dealer did not sell a motor vehicle to a person other than another
dealer during the preceding tax year and the dealer estimates that the dealer’s total annual sales from the dealer’s motor vehicle inventory, less sales to
dealers, eet transactions and subsequent sales, for the 12-month period corresponding to the current tax year will be 25 percent or less of the dealer’s
total revenue from all sources during that period; (3) les with the chief appraiser and the tax collector by Aug. 31 of the tax year preceding Jan. 1 on a
form prescribed by the Comptroller a declaration that the dealer elects not to be treated as a dealer under Tax Code Section 23.121 in the current tax year;
AND (4) renders the dealer’s motor vehicle inventory in the current tax year by ling a rendition with the chief appraiser in the manner provided by Tax
Code Chapter 22. A dealer who makes this election must le the election annually with the chief appraiser and the tax collector by Aug. 31 of the preceding
tax year, so long as the dealer meets the eligibility requirements of law.
FILING INSTRUCTIONS: This document and all supporting documentation must be led with the appraisal district office and the county tax assessor-
collector’s office in the county in which the business is located. Do not le this document with the Texas Comptroller of Public Accounts. A directory with
contact information for appraisal district and tax offices may be found on the Comptroller’s website.
DECLARATION DEADLINES: Except as provided by Tax Code Section 23.122(l), a declaration must be led not later than Feb. 1 of each year or,
in the case of a dealer who was not in business on Jan. 1, not later than 30 days after commencement of the business. A dealer is presumed to
have commenced business on the date of issuance of a dealer’s general distinguishing number as provided by Transportation Code Chapter 503.
Notwithstanding this presumption, a chief appraiser may, at his or her sole discretion, designate another date on which a dealer commenced business.
PENALTIES: A dealer who fails to le a declaration commits a misdemeanor offense punishable by a ne not to exceed $500. Each day during which a
dealer fails to comply is a separate violation. In addition to other penalties provided by law, a dealer who fails to le or timely le a required declaration
must forfeit a penalty of $1,000 for each month or part of a month in which a declaration is not led or timely led after it is due. A tax lien attaches to the
dealer’s business personal property to secure payment of the penalty.
OTHER IMPORTANT INFORMATION
The chief appraiser may examine the books and records of a dealer as provided by Tax Code Section 23.121(g).
STEP 1: Dealer Information
STEP 2: All Business Locations and General Distinguishing Numbers
Attach a list with the name and business address of each location at which you conduct business and each of the dealer’s general distinguishing numbers
issued by the Texas Department of Motor Vehicles.
The Property Tax Assistance Division at the Texas Comptroller of Public Accounts provides property tax
in
formation and resources for taxpayers, local taxing entities, appraisal districts and appraisal review boards.
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