Sales tax is a major part of what you pay when you shop in Texas. The state rate is 6.25%, and with local taxes the combined rate can reach 8.25%.
This guide explains the rates, what is and is not taxed in everyday shopping, the annual sales tax holiday and, for businesses, the filing dates, discounts and penalties, using the Texas Comptroller's Sales and Use Tax page, Publication 96-280 and its 2026 sales tax holiday news release.
| Part | Rate |
|---|---|
| State sales and use tax | 6.25% |
| Local (city, county, special district, transit): maximum | 2% |
| Maximum combined rate | 8.25% |
The Comptroller says local taxing jurisdictions can impose up to 2 percent on top of the state rate, and it offers a Sales Tax Rate Locator to look up the rate for a specific address. On a $100 taxable purchase in a place at the maximum rate the tax is $8.25, and on $1,000 it is $82.50 (our calculation).
| Generally not taxed | Generally taxed |
|---|---|
| Flour, sugar, bread, milk, eggs, fruits, vegetables and similar groceries | Prepared food, including hot food and food sold with eating utensils |
| Bakery items from a qualifying bakery | Candy and gum |
| Over-the-counter drugs labeled with a Drug Facts panel | Soft drinks and beer and wine |
| Dietary supplements | Ice and dry ice |
| Gift card purchases | Individual-sized snack items, books, comics, magazines, tobacco, clothing (excluding maternity), paper, pet and beauty products |
These come from the Comptroller's Publication 96-280 for grocery and convenience stores (March 2024 edition). Taxable items bought in a grocery or convenience store are exempt when legally purchased with Supplemental Nutrition Assistance Program (SNAP) benefits. Tax is due on the final discounted price of a taxable item, and a coupon is a cash discount. The publication lists many more examples; if an item is not covered here, check the Comptroller.
The Comptroller says Texans can buy most clothing, footwear, school supplies and backpacks priced under $100 tax-free during the annual back-to-school sales tax holiday, whether they shop in stores, online, by telephone or by mail. In 2026 it ran Friday, August 7 through midnight Sunday, August 9. The Legislature determines both the dates and the list of qualifying items each year, so check the Comptroller for future dates.
Texas also runs separate Water-Efficient Products and ENERGY STAR sales tax holidays, which in 2026 both ran Saturday, May 23 through Monday, May 25 (qualifying ENERGY STAR items include air conditioners priced at $6,000 or less and refrigerators priced at $2,000 or less).
| Filer type | Report due |
|---|---|
| Quarterly | Apr 20 (Jan to Mar), Jul 20 (Apr to Jun), Oct 20 (Jul to Sep), Jan 20 (Oct to Dec) |
| Monthly | The 20th of the month after the reporting month |
| Yearly | January 20 for the previous year |
If a due date falls on a Saturday, Sunday or legal holiday, the next working day is the due date. Permitted taxpayers can claim a discount of 0.5 percent of the tax timely reported and paid, plus 1.25 percent more for prepaying. Late penalties are $50 per late report, 5 percent if the tax is paid 1 to 30 days late and 10 percent if more than 30 days late, with interest starting 61 days after the due date. A seller late by 15 days on $5,000 of tax would owe $250 (5%) plus the $50 report penalty (our illustration).
Self-employed in Texas: see our Texas self-employment tax guide. Property tax: Texas property tax guide and homestead exemption guide. For an overview, see our Texas tax guide.
Texas Comptroller of Public Accounts: Sales and Use Tax, Texas Comptroller: Publication 96-280, Grocery and Convenience Stores, Texas Comptroller: Sales Tax Holiday news release (4 August 2026), Texas Comptroller: May 2026 Water-Efficient and ENERGY STAR sales tax holidays news release (19 May 2026).
CountryTaxCalc.com is reader-supported. When you use our partner links, we may earn a commission at no cost to you. This helps us provide free tax calculators and comparison tools.Learn more about our affiliate partnerships
★ 4.8verified reviews · 3,758 reviews
Moving between states means a complex multi-state tax return. Taxhub matches you with a real CPA via video call — average cost $325. Rated 4.8★ by 3,700+ clients.
âš Not for simple single-state returns. Free filing is fine for straightforward W-2 situations.
Get Matched With a CPA →Interested in reaching this audience? Advertise on CountryTaxCalc →