Relating to an exemption from ad valorem taxation of certain perishable inventory held for sale at retail.

SB 2907 would exempt certain perishable retail inventory from property tax in Texas. It specifically covers food (excluding alcohol), prescription and nonprescription drugs, and dietary supplements held for retail sale. Businesses selling these items would qualify for the tax exemption unless they owed delinquent taxes to the state or local taxing units as of January 1 of the tax year. The exemption applies only to tax years starting January 1, 2026, and depends on voter approval of a related constitutional amendment. The bill is currently pending in committee as of May 5, 2025.