Texas Sales Tax Rates and Fees

Texas Sales Tax Rates and Fees

Texas has a 6.25% state sales tax rate, with local jurisdictions adding up to 2% more. Combined rates range from 6.25% to 8.25% depending on location.

Texas State Sales Tax Rate

The statewide base rate is 6.25%. This applies to most retail sales of tangible personal property and certain taxable services.

Local Sales Tax Rates

Cities, counties, transit authorities, and special purpose districts can impose additional local taxes up to a combined maximum of 2%.

Major Texas Cities Tax Rates (2025)

City Local Rate Combined Rate
Houston 2.0% 8.25%
San Antonio 2.0% 8.25%
Dallas 2.0% 8.25%
Austin 2.0% 8.25%
Fort Worth 2.0% 8.25%
El Paso 2.0% 8.25%
Plano 2.0% 8.25%
Lubbock 2.0% 8.25%

What Is Taxable in Texas?

  • Retail sales of tangible personal property
  • Prepared food and beverages
  • Amusement services
  • Cable television and telecommunications
  • Data processing services
  • Security services

What Is Exempt in Texas?

  • Groceries (unprepared food items)
  • Prescription medications
  • Over-the-counter medications
  • Medical equipment
  • Items purchased for resale
  • Manufacturing equipment
  • Agricultural products and equipment

Registration Fees

Registering for a Texas Sales and Use Tax Permit is completely free. No annual renewal fee.

Late Filing Penalties

  • 5% penalty if tax is paid 1-30 days late
  • 10% penalty if tax is paid more than 30 days late
  • Interest accrues on unpaid amounts

Timely Filing Discount

Texas rewards businesses that file and pay on time with a discount of 0.5% of the tax due (capped at $500 per month).

Related Texas Guides

Sales Tax Permit — Step-by-step guide to get your Texas permit.

Comptroller Contact — Questions about rates? Contact the Texas Comptroller.

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