Gifford-Hill and Company v. State

HAMILTON, Justice.

This is a dispute between the State of Texas and Gifford-Hill & Company, Inc. about the inclusion in taxable receipts of monies collected by Gifford-Hill for reimbursement of charges in transporting Gif-ford-Hill products to purchasers.

The trial court found that the transportation costs occurred after the sale, and held that Gifford-Hill was not liable to the State of Texas for sales taxes on these charges. The Court of Civil Appeals reversed, and rendered judgment for the State, holding that the cost of transporting the sellers’ material to a purchaser was subject to the…