Texas State Sales Tax Online Registration
If your business sells goods or taxable services in Texas—whether online or in-person—you are likely required to collect and report state sales tax. This applies to retailers, wholesalers, service providers, and online sellers with a physical or economic presence in Texas.
To comply with Texas law, you must register for a Sales Tax Permit (also known as a Texas Sales and Use Tax Permit). Failing to register and collect the appropriate taxes may result in penalties, interest, and audits.
Does Your Business Need a Texas Sales Tax Permit?
You may be required to register if any of the following apply:
- You sell or ship taxable goods or services to customers in Texas
- You operate a store, office, warehouse, or physical location in the state
- You have employees or agents working in Texas
- Your business structure or location has changed recently
- You purchase goods wholesale and resell in Texas
Common Taxable Services in Texas
Here are examples of services that may be taxable:
- Commercial property repair or remodeling
- Construction labor with material charges
- Credit reporting and debt collection services
- Data processing and internet-related services
- Residential repair and cleaning services
- Amusement and recreational services
- Security, cable TV, and telecom providers
- Parking, towing, and vehicle storage
Wholesale & Resale Requirements
If you’re purchasing products at wholesale for resale in Texas, your suppliers will likely require a valid resale certificate. This document proves your exemption from paying tax on goods intended for resale, and it’s only issued if you have a valid Sales Tax Permit.
Out-of-State Sellers
Even if you’re located outside of Texas, you may still need to register if you’re shipping goods into the state. While you typically won’t collect sales tax from out-of-state customers, you must report applicable transactions if you meet Texas nexus thresholds.
Shipping, Drop Shipping, and Exemptions
- Shipping & Handling: If the item is taxable, then shipping charges are also subject to tax.
- Drop Shipments: Most drop-shipped goods into Texas are taxable and must include sales tax.
- Exempt Items: Examples include groceries, prescription medications, safety equipment, leases of certain motor vehicles, pollution control equipment, and raw materials used in manufacturing.
Need help registering your business for sales tax in Texas? Start your application here.
Need help registering your business for sales tax in Texas?
Texas Sales Tax Rate by Location
The base state sales tax rate in Texas is 6.25%. Local jurisdictions may impose up to 2% additional tax. Below are examples from across the state:
| Category | Location | Texas State Sales Tax Rate |
|---|---|---|
| Largest Cities | Houston | 6.25% |
| Largest Cities | San Antonio | 6.25% |
| Largest Cities | Dallas | 6.25% |
| Largest Cities | Austin | 6.25% |
| Largest Cities | Fort Worth | 6.25% |
| Largest Cities | El Paso | 6.25% |
| Largest Cities | Arlington | 6.25% |
| Largest Cities | Corpus Christi | 6.25% |
| Largest Cities | Plano | 6.25% |
| Largest Cities | Laredo | 6.25% |
| Largest Cities | Lubbock | 6.25% |
| Largest Cities | Garland | 6.25% |
| Largest Cities | Irving | 6.25% |
| Largest Cities | Amarillo | 6.25% |
| Largest Cities | Grand Prairie | 6.25% |
| Largest Cities | McKinney | 6.25% |
| Largest Cities | Frisco | 6.25% |
| Largest Cities | Brownsville | 6.25% |
| Largest Cities | Pasadena | 6.25% |
| Largest Cities | Killeen | 6.25% |
| Smallest Cities | Impact | 6.25% |
| Smallest Cities | Mentone | 6.25% |
| Smallest Cities | Los Ybanez | 6.25% |
| Smallest Cities | Quarry | 6.25% |
| Smallest Cities | Toyah | 6.25% |
| Smallest Cities | Nogalus Prairie | 6.25% |
| Smallest Cities | Oyster Creek | 6.25% |
| Smallest Cities | South Mountain | 6.25% |
| Smallest Cities | Knollwood | 6.25% |
| Smallest Cities | Paluxy | 6.25% |
| Smallest Cities | Hardin | 6.25% |
| Smallest Cities | Wildorado | 6.25% |
| Smallest Cities | Texline | 6.25% |
| Smallest Cities | O’Donnell | 6.25% |
| Smallest Cities | Bruni | 6.25% |
| Smallest Cities | Pine Harbor | 6.25% |
| Smallest Cities | Highland Haven | 6.25% |
| Smallest Cities | Orason | 6.25% |
| Smallest Cities | Chillicothe | 6.25% |
| Smallest Cities | Elysian Fields | 6.25% |
| Largest Counties | Harris | 6.25% |
| Largest Counties | Dallas | 6.25% |
| Largest Counties | Tarrant | 6.25% |
| Largest Counties | Bexar | 6.25% |
| Largest Counties | Travis | 6.25% |
| Smallest Counties | Loving | 6.25% |
| Smallest Counties | Kenedy | 6.25% |
| Smallest Counties | King | 6.25% |
| Smallest Counties | Borden | 6.25% |
| Smallest Counties | Terrell | 6.25% |
| Smallest Counties | McMullen | 6.25% |
| Smallest Counties | Stonewall | 6.25% |
| Smallest Counties | Motley | 6.25% |
| Smallest Counties | Cottle | 6.25% |
| Smallest Counties | Kent | 6.25% |