ASA: Texas tax code unfair to independent repair shops

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September 29, 2010—The Automotive Service Association is concerned about the iniquities in the Texas tax code in relation to dealer repair shops.

Repair shops owned and operated by new or used car dealerships are taxed at half the rate versus independently owned repair shops doing identical work, according to an ASA press release_notes. Dealership repair shops are considered to be “retail” and the code allows their service to be included under that banner. Texas independent repairers are seeking similar treatment.

ASA asks Texas shops to send a letter to their state legislators. To access a letter, go to

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