Get Exempt Commercial Purchaser 2018-2024

Surplus lines tax: 4.85% (+ stamping fee of . 075% (. 00075)) (reduced from . 15% effective January 1, 2021), payable by broker (TX DOI imposes assessments/enforcement actions for late filings).

Companies seeking to be eligible for Surplus Lines must first file with the Surplus Lines Stamping Office of Texas. The Company Licensing and Registration Office is responsible for registering surplus lines insurers. By definition, surplus lines companies are not licensed to sell insurance in Texas.

The Texas Department of Insurance (TDI) received a recommendation from the Surplus Lines Stamping Office of Texas (stamping office) to decrease the stamping fee from the current rate of 0.075% of gross premium to 0.04%, effective January 1, 2024.

The single local use tax rate is an alternative local tax rate that remote sellers can use instead of collecting and remitting the total local tax in effect at the destination address. The current single local use tax rate is 1.75 percent, and the rate is published in the Texas Register by Jan. 1 of each year.

The surplus lines agent who is closest to the company writing the business is responsible for the collection and payment of the surplus lines taxes to the Texas Comptroller of Public Accounts Office and the filing of the policy with the Surplus Lines Stamping Office of Texas.