1. (a) Any corporation contracting with the Texas Funeral Service Commission and/or any corporate applicant for a license or permit issued by the agency must certify in writing, on a form provided by the agency, that its franchise taxes are current, that the corporation is exempt from payment of the franchise tax or that it is an out-of-state corporation that is not subject to the franchise tax.
2. (b) The making of a false statement as to corporate franchise tax status on any license or permit application shall be grounds for disciplinary action.
3. (c) The making of a false statement as to corporate franchise tax status with regards to a state contract shall be grounds for cancellation of the contract at the option of the agency by treating the statement as a material breach of contract.

Source Note:The provisions of this §203.25 adopted to be effective February 27, 1996, 21 TexReg 1271.