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Texas Sales Tax

On this page you will find handy sales and use tax information about Texas.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Texas that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

6.250%
Range of Local Rates

0% – 2% Some local jurisdictions do not impose a sales tax. Texas has a uniform local tax rate for remote sellers of 1.75%

1.75% local rate for remote sellers, 10-12/19
Local Rates Apply to Use Tax

Yes
Remote Seller Nexus Rules
AFFILIATE NEXUS

1/1/2012
ECONOMIC NEXUS

Effective 1/1/2019 but not enforced until 10/1/2019
MARKETPLACE NEXUS

10/1/2019
Sales Tax Holidays
Emergency Preparation Supplies Holiday

April 25-27, 2026

1. Portable generators – less than $3000 per item
2. Hurricane shutters and emergency ladders – less than $300 per item
3. Other specified emergency preparation supplies – less than $75 per item
Annual Energy Star Holiday

May 23-25, 2026

1. Energy Star-qualified air conditioners priced at $6,000 or less; refrigerators priced at $2,000 or less; ceiling fans; incandescent and fluorescent light bulbs; dishwashers; dehumidifiers; programmable thermostats; and clothes washers
2. Water-saving products that are used or planted for conserving or retaining groundwater; recharging water tables; or decreasing ambient air temperature, and so limiting water evaporation. Examples: soaker/drip-irrigation hose, a moisture control for sprinkler/irrigation system, mulch, rain barrel, permeable ground cover surface, plants, trees and grasses, water-saving surfactants, soil and compost.
Water Efficient Products Sales Tax Holiday

May 23-25, 2026

  1. Any product that displays a WaterSense Logo or Label;
  2. Certain water-conserving products for residential properties, including soakers or drip irrigation hoses, moisture control systems for sprinkler or irrigation systems, mulch, rain collection systems, soil and compost, plants, trees and grasses, water saving surfactants, and permeable ground cover surfaces that allow water to reach water collection points.
Annual Back to School Holiday

August 7-9, 2026

1. Clothing and footwear – less than $100 per item (excluding accessories, athletic or protective clothing, and rentals of clothing or footwear); backpacks used by elementary and secondary students are included
2. Most School Supplies – less than $100 per item

Beginning with 2026’s Back to School Holiday, the holiday will take place beginning on the first Friday in August until the following Sunday (S.B. 1415).
Sales Tax Amnesty
Status

Inactive

Amnesty Filing Dates

May 1, 2018 - June 29, 2018

Go to Texas Amnesty Page
AMNESTY INCLUSION PERIODS

Periods prior to January 1, 2018.

TAX TYPES AND CONDITIONS

Various Texas state taxes. Does not apply to periods currently under audit review, IFTA taxes, PUC Gross Receipts assessments, Local Motor Vehicle Tax and Unclaimed Property payments.
AMNESTY BENEFITS

Waiver of penalties and interest.

Status

Inactive

Amnesty Filing Dates

June 12, 2012 - August 17, 2012

Go to Texas Amnesty Page
AMNESTY INCLUSION PERIODS

Reports originally due before April 1, 2012 are eligible.

TAX TYPES AND CONDITIONS

Business sales tax, franchise tax, and other state and local taxes and fees administered by the Comptroller’s office, with the exception of Public Utility Commission gross receipts assessments. The amnesty does not apply to filing periods under audit or identified for an audit.
AMNESTY BENEFITS

Waiver of penalties and interest.

Administration Information
Streamlined Sales Tax Status

Advisory State
NUMBER OF TAXING AUTHORITIES

1,594 Sales Tax Jurisdictions

HOME RULE AUTHORITIES

N/A
Sales Tax Sourcing (Intrastate)

Origin
Sales Tax Return Due Date

The 20th of the month following the reporting period
Exemption Information
RESALE CERTIFICATE

Texas Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: manufacturing, new construction labor, qualified research, data centers, industry (agricultural and timber), necessities to life (food and beverage, health-related)

 

Entity types of exemptions: religious & charitable, homeowners association, educational, government, volunteer fire departments, federal & others

 

Texas Exemption Certificate Forms
State Links
State Tax Web Page

Texas Comptroller
Rate Look-Up Page

Texas Sales Tax Rate Look-Up
Registration Link

Register for Texas Sales Tax
History & Fun Facts
HISTORY

  • The first state-wide sales tax went into effect on September 1, 1961 at a rate of 2 percent. The tax replaced miscellaneous excise taxes.
  • Texas enacted legislation in 2001 to authorize the Comptroller to enter and participate in the Streamlined Sales and Use Tax Agreement. However, the state has not yet made the necessary changes to its laws to be fully compliant with SST.
FUN FACTS
  • During the state’s annual back to school sales tax holiday, belts are exempt from sales tax, but belt buckles are not. Cowboy boots, however, are exempt from sales tax during the holiday.

Sign Manufacturer Treated as Contractor on Installed Signs in Texas

A taxpayer that manufactured signs was held to be a contractor for Texas sales tax purposes and as a result, was not eligible to claim a manufacturing exemption on its purchase of utilities, equipment, and materials used in manufacturing the…

Federal Government Introduces New Remote Seller Bill

The federal Marketplace Fairness Act of 2013 was introduced in the House of Representatives and the Senate on February 14, 2013.

Amazon Enters Agreement to Collect Sales Tax in Texas

Amazon has entered into an agreement with the state of Texas to begin collecting and remitting Texas sales tax on July 1, 2012. Under the agreement, Amazon plans over the next four years to create at least 2,500 jobs and…

Texas Power Plant’s Purchase of Equipment Not Sales Tax Exempt

A Texas power plant operator’s purchases of turbines, generators, and accessories used to generate electricity did not qualify for the manufacturing exemption from sales and use tax because the operator was unable to prove that the machinery retained its identity…

Texas Enacts Affiliate Nexus Bill

Effective January 1, 2012, the definition of a retailer considered to be engaged in business in Texas for use tax collection purposes is expanded.

Texas Announces Fresh Start Tax Amnesty Program

The Texas Comptroller of Public Accounts has enacted the Fresh Start tax amnesty program, which will run from June 12, 2012 through August 17, 2012. During the amnesty period, penalties and interest will be waived for businesses that file delinquent…

Daily Deals Treated as Gift Certificates in Texas

Daily deals offered through third parties, such as radio stations and social media networks, are treated as gift certificates for sales tax purposes.

Texas Waste Hauler’s Services for Contractors Taxable

A Texas waste hauler that provides waste removal services for roofing contractors was denied a requested sales tax exemption based on receiving sale for resale certificates from the contractors. Texas law prohibits a contractor who performs a separated contract from…

Texas Announces Annual Sales Tax Holiday

The Texas Comptroller of Public Accounts has announced that its annual sales tax holiday will take place on August 19-21, 2011. During the tax holiday, most clothing and footwear priced under $100 are exempt from sales and use tax. In…

Divergent Use of Manufacturing Equipment in Texas Discussed.

If a manufacturer uses tax exempt manufacturing equipment to make repairs on a product under the terms of its warranty…

Roaming Charges for Wireless Calls Made in Mexico Not Subject to Texas Sales Tax.

A telecommunications services provider’s roaming charges for when its Texas customers traveled to Mexico and placed or received calls that originated and terminated in Mexico, were not subject to Texas sales tax. The Mobile Telecommunications Sourcing Act (MTSA) provides a…

Texas Discusses Energy Star Sales Tax Holiday

The Texas Comptroller of Public Accounts issued a newsletter that discusses, among other things, the annual Memorial Day weekend Energy Star Sales Tax Holiday. The 2010 Holiday will begin at 12:01 a.m. on Saturday, May 29, and end at 11:59…

Texas Exempts Aircraft if Used for Agricultural Services

Effective September 1, 2009, Texas legislation exempts aircraft from Texas sales and use tax if sold to a person for use exclusively in connection with an agricultural use. To qualify for the exemption the aircraft must be used 95% of…

Gas and Electricity Used in Container Leasing Business Did Not Qualify for Texas Agricultural Exemption

A taxpayer\’s purchase of gas and electricity used to power equipment related to cleaning, sanitizing, and wrapping plastic containers were not exempt from Texas sales and use tax under the agricultural exemption.

Texas Denies Exemptions to Oil and Gas Producer

A petroleum and natural gas producer was denied an exemption for its purchase of down-hole equipment because it is considered taxable transportation equipment. Since this equipment is not exempt manufacturing equipment, the taxpayer could not receive a credit for tax…

Bar Code Verifiers Not Use in Exempt Quality Control Process in Texas

A manufacturer of shampoos, conditioners, and other cosmetics was denied a manufacturing exemption on its purchases of bar code verifiers. The manufacturer contended that they were used in used in an exempt quality control process to ensure that bar codes…

Texas Discusses Server Housing and Network Management Services

The Texas Comptroller discusses the taxability of charges made by a taxpayer who provides its customers a secure location within a building (a “co-location space”) to store the customer’s equipment or to utilize as a disaster workforce and recovery back-up…

Texas Discusses Aircraft Trade-Ins

The Texas Comptroller indicated that an aircraft transaction that qualifies as a tax free exchange exempt from federal taxation under IRC- Section 1031 does not impact the taxability of a transaction for Texas sales and use tax. The sale or…

Texas Exempts Software Transferred to Out-of-State Franchise Stores

A taxpayer, who operates retail convenience stores (company stores) and franchises others to third parties (franchise stores), was entitled to a partial refund of sales tax paid on its purchase of financial software for its out-of-state stores. The taxpayer contended…

Texas Aircraft used for Agricultural Operations Exempt

Texas has clarified changes relating to exemptions from sales and use tax for certain aircraft, including related machinery and equipment. Effective September 1, 2009, machinery and equipment exclusively used in an agricultural aircraft operation, as defined by 14 C.F.R. Section…

Kiosks and Sellers with Multiple Stores in Texas Discussed

Kiosks and Sellers with Multiple Stores are Discussed in Texas Texas issued a notice on Senate Bill 636, which amends the definition of a \”place of business\” and changes how retailers who operate multiple places of business in Texas should collect local sales taxes.

Texas Discusses School Fundraising and Sales by School Organizations

The Texas Comptroller of Public Accounts has released a publication detailing the taxability of sales made by schools and school organizations. The publication states that “school districts, public schools, qualified exempt private schools and bona fide chapters within a qualifying…

Texas Decides Charges for Manufacturer’s Solid Waste Disposal Were Taxable

The Texas Court of Appeals has upheld a District Court’s decision that a plastic closure manufacturer was not entitled to a refund of sales tax paid on charges for removal and disposal of waste from its plant. The manufacturer paid…

Texas Amends Taxation of Motor Vehicle Gifts

Effective September 1, 2009, the $10 tax imposed on the recipient of a gift of a motor vehicle only applies if 1) the gift is received from the recipient’s spouse, parent, stepparent, grandparent, grandchild, child, stepchild, sibling, guardian, or a…