Texas law requires that a dealer's inventory is appraised on the total sales of vehicles in the prior year. Dealers must file a Dealer's Motor Vehicle Inventory Declaration listing the total value of the inventory sold in the prior year. Also, the dealer must file a monthly form called the Dealer's Motor Vehicle Inventory Tax Statement listing the vehicles sold and prepay their property taxes for each vehicle.
Dealers must file these forms with their local Appraisal District and the Collin County Tax Office:
Report and Pay Dealer's Special Inventory Taxes:
File a Dealer's Motor Vehicle Inventory Declaration (50-244):
- File one Declaration per year;
- File each January, between January 1 and 31;
- File with the County Appraisal District and send a copy to the County Tax Office
Report Sales Using the Dealer's Motor Vehicle Inventory Tax Statement (50-246):
- File 12 Statements per year;
- File each month by the 10th of the following month;
- File with the County Tax Office, including a check for prepayment of taxes.
- Send a copy of the form to the County Appraisal District.
- If you do not sell a vehicle during the month, you must file a Tax Statement indicating no sales.
Special Inventory Tax Forms can be found on the Texas Comptroller's Special Inventory website.
All forms must be mailed to both the Collin County Tax Office and the Central Appraisal District at:
Collin County Tax Office
SIT Department
2300 Bloomdale Roade, Suite 2324
McKinney, TX 75070-8046
collincountysit@co.collin.tx.us
and
Collin County Central Appraisal District
250 Eldorado Parkway
McKinney, TX 75069
Special Inventory Frequently Asked Questions
Dealer Inventory FAQ'S
Late Payment and Late Statement Penalties:
Property Tax Code Sec. 23.122:
(n) In addition to other penalties provided by law, a dealer who fails to file or fails to timely file a statement as required by this section shall forfeit a penalty. A tax lien attaches to the dealer's business personal property to secure payment of the penalty. The appropriate district attorney, criminal district attorney, county attorney, collector, or person designated by the collector shall collect the penalty established by this section in the name of the collector. Venue of an action brought under this subsection is in the county in which the violation occurred or the county in which the owner maintains the owner's principal place of business or residence. A penalty forfeited under this subsection is $500 for each month or part of a month in which a statement is not filed or timely filed after it is due.
(o) An owner who fails to remit unit property taxes due is required by this section shall pay a penalty of five percent of the amount due. If the amount is not paid within 10 days of the due date, the owner shall pay an additional penalty of five percent of the amount due. Notwithstanding the terms of this section, unit property taxes paid on or before January 31 of the year following the date on which they are due are not delinquent. The collector, the collector's designated agent, or the county or district attorney shall enforce the terms of this subsection. A penalty under this subsection is in addition to any other penalty proved by law if the owner's taxes are delinquent.
