SECTION 3.71. Definition of "Resident" and "New Resident"

(a) A "resident" within the meaning of the Texas Tax Code, §152.022, shall mean any person who lives in the state, and any firm, corporation, or association which is physically located in the state. A person who is temporarily living in the state, and retains a permanent home in another state, is nevertheless a resident of Texas for purposes of the Texas Tax Code, §152.022. A person, firm, corporation, or association may be a resident of more than one state at a time.

(b) Definition of new resident.

(1) A "new resident" within the meaning of Texas Tax Code, §152.023, shall mean any person, firm, corporation, or association which moves into Texas with the intent to live or locate within the state. A natural person may demonstrate the necessary intent to live in Texas by establishing a fixed dwelling place in Texas, registering to vote in Texas, or demonstrating a legal or economic constraint to live in Texas. A business entity may demonstrate the necessary intent to locate in Texas by establishing a fixed place of business in Texas, advertising that it is located in Texas, or demonstrating a contractual obligation to locate in Texas.

(2) A new resident may also be a resident of other states. However, once residence is established in Texas, a person, firm, corporation, or association may not subsequently become a new resident within the meaning of the Texas Tax Code, §152.023, without a showing that the residence formerly established in Texas was abandoned.

Source Note: The provisions of this §3.71 adopted to be effective January 1, 1976; amended to be effective May 27, 1980, 5 TexReg 1852.