Tex. Tax Code § 152.084 — RENTAL OF MOTOR VEHICLE TO PUBLIC AGENCY

The taxes imposed by this chapter do not apply to the rental of a motor vehicle to a public agency. The tax which would have been remitted on gross rental receipts without this exemption shall be deemed to have been remitted for the purpose of calculating the minimum gross rental receipts tax imposed by Section 152.026 of this code. Acts 1981, 67th Leg., p. 1594, ch. 389, Sec. 1, eff. Jan. 1, 1982.