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HB 4379

Relating to the application, collection, remittance, and administration of the gross rental receipts tax on the renting of shared motor vehicles through peer-to-peer car sharing programs; imposing a penalty.

89th Legislature (2025) Introduced by Chris Turner

HB 4379 imposes a gross rental receipts tax on peer-to-peer car sharing in Texas with collection, remittance, and administrative rules plus penalties for violations.

Referred to Ways & Means
#comptrollerofpublicaccounts(v2608) #taxation--sales(i0800) #transportation--miscellaneous(i0824) #vehiclesforhire(s0795)
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Bill Summary · HB 4379

Legislative bill overview

HB 4379 establishes a new gross rental receipts tax framework specifically for peer-to-peer (P2P) car sharing programs in Texas. The bill creates rules for how this tax is applied, collected, remitted, and administered, while also establishing penalties for non-compliance with these requirements.

Why is this important

As P2P car sharing platforms like Turo have grown, Texas lacks specific tax guidance for this emerging business model. This bill attempts to clarify tax obligations and ensure the state captures revenue from a sector that has operated in a regulatory gray area. The outcome will affect both car-sharing platforms' operating costs and state tax revenue.

Potential points of contention

  • Tax burden on sharing economy: P2P car sharing companies may argue the tax is disproportionate compared to traditional rental car companies, potentially making peer-to-peer sharing less competitive
  • Implementation complexity: Questions about how the tax applies to multi-state trips, how it's collected from individual car owners versus platforms, and administrative burden on small-scale participants
  • Consumer impact: The tax will likely be passed to renters, potentially increasing costs and reducing demand for P2P car sharing services

Compiled from official sources — confirm details with the bill’s official record.

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