Texas Comptroller Don Huffines is encouraging Texans to comment on his plan to end the sales tax on fees that physicians and hospitals pay to access online medical records. The proposed rule change is set to be published in the Texas Register on Friday, Oct. 30, followed by a 30-day public comment period. Huffines said the public's perspective is essential.
According to the comptroller's office, the previous rule treated technology that stores or shares medical records as subject to sales tax. The proposed change says such services are neither taxable information services nor taxable data processing services. Huffines issued an executive order earlier this month directing the agency to propose the amendment to Rule 3.342, which governs the taxation of information services. Huffines said the tax adds costs that raise the price of healthcare.
Comments can be sent by mail to Robin Robinson, Associate Deputy Comptroller for Tax, P.O. Box 13528, Austin, Texas 78711, or by email to Robin.Robinson@cpa.texas.gov. The comptroller must receive comments no later than 30 days from the date the proposal is published in the Texas Register.