Social Security Representation Not A Taxable Insurance Service in Texas

Monday, January 19th, 2015

Social security cards.

The Texas Comptroller of Public Accounts ("Comptroller") ruled that social security disability representation was not a taxable insurance service.

The taxpayer provided social security representation services to claimants. The taxpayer found clients through referrals from insurance carriers, self-insured employers, and third-party administrators.

Insurance services are taxable in Texas. "Insurance services" means (1) insurance loss or damage appraisal, (2) insurance inspection, (3) insurance investigation, (4) insurance actuarial analysis or research, (5) insurance claims adjustment or processing, and (6) insurance loss prevention service. Insurance services are taxable when performed in relation to an insurance policy.

Social security disability representation services are not insurance services. Social security representation services are more like non-taxable professional legal services. As the representation was not an insurance service, the Comptroller did not need to address whether the services were non-taxable for other reasons.

About TTR

Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.

TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.

TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.

Please visit TTR on the web at or call 866.578.8193.

Participatory Sports are Taxable in New York

Friday, June 14th, 2019 -The New York Division of Tax Appeals recently denied a refund claim made by an instructor-led indoor spin clas...

Marketplace Facilitators to Collect Tax in Vermont

Thursday, June 13th, 2019 -Vermont recently passed a bill requiring marketplace facilitators to collect and remit sales tax on retail sal...

Agricultural Rotary Cutter Taxable in Arkansas

Wednesday, June 5th, 2019 -The Arkansas Department of Finance and Administration (DFA) recently determined that a rotary cutter used in t...

Wholesale Exemption Applies to Meals Purchased by...

Monday, June 3rd, 2019 -The Colorado Supreme Court recently ruled that a food service vendor made exempt wholesale sales of food and f...

Specialized Tools to Install Prosthetic Devices are...

Friday, May 31st, 2019 -The Wisconsin Tax Appeals Commission recently ruled that specialized tool kits used to install prosthetic devi...

Magnetically Cleaning Corn is Exempt in Ohio

Wednesday, May 22nd, 2019 -The Ohio Board of Tax Appeals recently ruled that a magnet used to clean or remove scrap metal from corn befor...