What the Form Is For
Form 01-156, the Texas Use Tax Return, is a specialized reporting form designed for Texas purchasers who don't hold a Texas Sales and Use Tax Permit. This form allows you to report and pay use tax directly to the Texas Comptroller of Public Accounts when you buy taxable items without paying Texas sales tax and then store, use, or consume those items in Texas.
Use tax is complementary to sales tax—it ensures that the state collects tax on purchases even when the seller didn't collect it at the point of sale. The use tax rate mirrors the sales tax rate: 6.25 percent for state tax, plus up to 2 percent in local taxes depending on where you store or use the item, for a maximum combined rate of 8.25 percent. Think of use tax as the "other side of the coin" from sales tax—both taxes apply to the same transactions, but which one you pay depends on whether the seller collected it or whether you must remit it directly.
Common situations requiring Form 01-156 include purchasing items from out-of-state online retailers who don't charge Texas tax, buying goods through mail-order catalogs from sellers without Texas permits, purchasing taxable items in another country (like Mexico) and bringing them into Texas, or acquiring taxable goods from out-of-state sellers and having them delivered to Texas addresses. If you already have a Texas Sales and Use Tax Permit, you wouldn't use this form—instead, you'd report use tax on your regular sales tax return.
When You’d Use This Form
Regular Filing Deadlines
The timing for filing Form 01-156 depends on how much use tax you owe during a calendar year. Texas uses a threshold system to determine your filing deadline. If you owe less than $1,000 in use tax during a calendar year, you must file and pay by January 20 of the following year.
However, if your use tax liability reaches or exceeds $1,000 during the calendar year, you must file and pay by the 20th of the month following the month when you crossed that $1,000 threshold.
Late Filings
If you miss your filing deadline, Texas imposes statutory penalties based on how late you are:
- 1–30 days late: 5 percent penalty
- More than 30 days late: 10 percent penalty
- Failure after notice: additional 10 percent (total up to 20 percent)
Interest begins accruing on the 61st day after the due date. Failure to file can trigger collection actions such as liens, asset freezes, and legal consequences.
Texas Comptroller - Penalties for Past Due Taxes
Amended Returns
If you discover an error after filing:
- Write "Amended Return" at the top of a new Form 01-156
- Complete the form with corrected information
- Submit via Webfile or mail
Keep documentation explaining the changes.
Key Rules or Details for This Tax Year
Tax Rate Application
The use tax rate equals the combined state and local rate where the item is used. State rate is 6.25 percent, with up to 2 percent local tax.
Credit for Taxes Paid to Other States
- Credits prevent double taxation
- You may owe the difference if another state’s tax is lower
- No refund if the other state’s tax is higher
Items from Other Countries
Items purchased abroad and brought into Texas are subject to use tax based on purchase price.
No Permit Required
Individual filers using Form 01-156 do not need a Texas tax permit.
Annual Tracking
You must track cumulative use tax throughout the year to determine your filing deadline.
Step-by-Step (High Level)
Step 1: Gather Your Purchase Records
Collect invoices, receipts, and documentation for all taxable purchases without Texas tax.
Step 2: Determine Applicable Tax Rates
Use the Comptroller’s rate locator to identify correct tax rates based on usage location.
Step 3: Calculate Your Use Tax Liability
Multiply purchase price by tax rate and subtract credits for taxes paid elsewhere.
Step 4: Complete Form 01-156
Fill in personal details and report purchases accurately.
Step 5: Determine Your Filing Deadline
Check if your total use tax reaches the $1,000 threshold.
Step 6: Submit Payment
File via mail or electronically. Keep copies for records.
Texas Comptroller - Filing Requirements
Common Mistakes and How to Avoid Them
Mistake 1: Not Knowing Use Tax Exists
Solution: Stay informed and track untaxed purchases.
Mistake 2: Miscalculating the $1,000 Threshold
Solution: Track use tax owed, not total purchases.
Mistake 3: Forgetting Credits for Other States
Solution: Keep receipts and apply credits correctly.
Mistake 4: Using the Wrong Local Tax Rate
Solution: Always use the official rate locator.
Mistake 5: Missing the Filing Deadline
Solution: Monitor your cumulative tax throughout the year.
Mistake 6: Poor Recordkeeping
Solution: Maintain organized records for all purchases.
What Happens After You File
Initial Processing
- Electronic filings: confirmation within days
- Paper filings: 2–3 weeks
Potential Audit or Review
The Comptroller may request supporting documents.
Refunds or Additional Assessments
- Refunds: typically 60–90 days
- Additional tax: billing notice issued
Ongoing Obligation
You must evaluate and file each year as needed.
Collection Actions for Non-Compliance
Failure to comply may result in:
- Tax liens
- Asset seizure
- License suspension
- Legal action
Texas Comptroller - Penalties for Past Due Taxes
FAQs
If I already paid sales tax to an online seller, do I still need to file Form 01-156?
No. If Texas sales tax was collected, you do not need to file for that purchase.
Can I wait until the end of the year to file if I owe more than $1,000?
No. You must file once you cross the threshold within the year.
What if I used an item outside Texas before bringing it in?
You may only owe tax based on usage in Texas, possibly adjusted for depreciation.
How do I prove I paid tax to another state?
Keep receipts showing seller details, tax amounts, and transaction breakdown.
What happens if I didn’t file in previous years?
File as soon as possible. You may owe penalties and interest but can avoid worse consequences.
Do I need to file if I had no qualifying purchases?
No. You only file when you owe use tax.
Where can I find and submit Form 01-156?
Download from the Texas Comptroller website and submit via mail or Webfile.
Texas Comptroller - Sales and Use Tax Forms