Relating to decreasing the state sales and use tax rate.

HB 3437 would reduce Texas' state sales and use tax rate from 6.25% to 5.25% effective October 1, 2025. This change directly affects all Texas consumers and businesses selling taxable goods or services, lowering the tax burden on purchases. The bill amends Section 151.051(b) of the Tax Code to reflect the new rate, while clarifying that existing tax liabilities accrued before the effective date remain unchanged under the previous rate. The legislation does not alter tax collection for past transactions or enforcement actions related to prior tax obligations.