Texas Tax Code 151.356 – Offshore Spill Response Containment Property
(a) In this section, “offshore spill response containment property” means tangible personal property:
(1) described by § 11.271(c);
(2) owned or leased by an entity described by § 11.271(f); and
(3) used or intended to be used solely in an offshore spill response containment system as defined by § 11.271(a).
(b) This section does not apply to an item used, wholly or partly, for the exploration for or production of oil, gas, sulfur, or other minerals, including the equipment, piping, casing, and other components of an oil or gas well. For purposes of this subsection, the offshore capture of fugitive oil, gas, sulfur, or other minerals that is entirely incidental to the item’s temporary use as an offshore spill response containment system is not considered to be production of those substances.
Terms Used In Texas Tax Code 151.356
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Property: means real and personal property. See Texas Government Code 311.005
(c) The sale, lease, rental, storage, use, or other consumption by an entity described by § 11.271(f) of offshore spill response containment property used solely for the purposes described by § 11.271(c) and this section is exempted from the taxes imposed by this chapter.
(d) A service performed exclusively on offshore spill response containment property is exempted from the taxes imposed by this chapter.