In a recent hearing involving a debt collection company Texas upheld that a company can create nexus through contract sales people soliciting business in the state. Furthermore, it was ruled that sales made by these contract sales people qualified the debt collection company as doing business in Texas regardless of the fact that the company is based outside of Texas. Another issue raised in the hearing involved the taxability of debt collection services. It was upheld according to the laws of the state that debt collection services are taxable and the debt collection company is liable for collecting and remitting taxes even when debtor are instructed to send their payments to the creditor instead of the debt collection company. (Texas Comptroller of Public Accounts, Hearing No. 39,829, February 24, 2004.)