Texas Tax Code - TAX § 142.002. Definitions

(1) “Agreement” means the Streamlined Sales and Use Tax Agreement as amended and adopted on November 12, 2002.

(2) “Certified automated system” means software certified under the agreement to calculate the tax imposed by each jurisdiction on a transaction, determine the amount of tax to remit to the appropriate state, and maintain a record of the transaction.

(3) “Certified service provider” means an agent certified under the agreement to perform all of the seller's sales tax functions, other than the seller's obligation to remit tax on the seller's own purchases.

(3-a) “Model 1 seller” means a seller that has selected a certified service provider as the seller's agent to perform all of the seller's sales and use tax functions, other than the seller's obligation to remit tax on the seller's own purchases.

(3-b) “Model 2 seller” means a seller that has selected a certified automated system to perform part of the seller's sales and use tax functions, but retains responsibility for remitting the tax.

(3-c) “Model 3 seller” means a seller that has sales in at least five member states, has total annual sales revenue of at least $500 million, has a proprietary system that calculates the amount of tax due each jurisdiction, and has entered into a performance agreement with the member states that establishes a tax performance standard for the seller.  The term includes an affiliated group of sellers using the same proprietary system.

(4) “Sales tax” means a sales tax administered or computed under Chapter 151.

(5) “Seller” means a person who sells, leases, or rents personal property or services.

(6) “Use tax” means a use tax administered or computed under Chapter 151.