HB 247 exempts property owners in Texas counties bordering Mexico from paying property taxes on the increased tax value caused by border security infrastructure (like walls, fences, or roads) installed on their land under specific agreements. It also prevents government entities from having to pay higher property taxes when purchasing land or easements for border security projects, as the price paid for those parcels won’t factor into appraising other nearby properties. The law applies only to real property in border counties and covers both infrastructure built on private land and government acquisitions for such projects. This directly affects landowners in border counties and state/federal agencies managing border security. The policy change simplifies tax treatment for border infrastructure development without altering overall property tax rates.
HB 1770 requires Texas school districts to receive annual adjustments to their basic funding under the Foundation School Program to keep pace with inflation. Beginning in the 2026-2027 school year, the funding increase will be the lesser of 3% or the annual inflation rate (based on the Consumer Price Index). This adjustment directly affects all public school districts receiving state funding through the Foundation School Program. The bill ensures school funding maintains its purchasing power over time without requiring annual legislative action for each adjustment. The legislature may still set a lower amount in the budget, but it must not fall below the original funding level.
HB 4725 would create a sales tax exemption for the sale, lease, or installation of distributed energy systems, such as residential solar panels or small business wind turbines. The exemption would remove state sales tax from the full cost of these systems, including installation, for both homeowners and businesses. This policy directly affects individuals and companies purchasing renewable energy equipment by reducing their upfront costs. The bill does not specify additional requirements or eligibility criteria beyond the system type and user category.
HB 3830 creates a franchise tax credit for businesses operating concentrated animal feeding operations (CAFOs) located in major sole source impairment zones under Texas Water Code. It allows eligible entities to claim a credit equal to their actual costs for transporting agricultural waste outside these zones (covering fuel, labor, and equipment), capped at 50% of their franchise tax after other credits. Unused credits may be carried forward for up to 10 years. The bill directly affects CAFOs meeting specific water code location and waste transport requirements, aiming to incentivize waste management outside sensitive water zones.
HB 1587 extends a temporary sales tax exemption for clothing, footwear, and certain school items in Texas. It exempts items priced under $100 from sales tax during a specific period: from 12:01 a.m. on the first Friday in August (before the 15th day before the school start date) through 12 a.m. Sunday of the following week. This directly benefits families purchasing essential school supplies before the new academic year begins. The bill takes effect September 1, 2025, and does not affect tax liabilities accrued before that date.
HB 920 exempts sales and use taxes on firearms, ammunition, firearm accessories, and specific firearm safety equipment (like gun safes, locks, and training materials) from Texas sales and use taxes. This directly affects consumers and retailers purchasing these items, removing a tax burden that currently applies. The exemption applies to the sale, storage, use, or consumption of these items, effective September 1, 2025. The bill does not change taxes owed before this date or impact other tax categories.
HB 2511 exempts certain energy-efficient home appliances and lighting from Texas state sales tax for a limited period. It applies directly to Texas residents purchasing specific products like air conditioners under $6,000, refrigerators under $2,000, dishwashers, water heaters, LED lightbulbs, and smart thermostats. The bill amends the Tax Code to define eligible items with clear price limits and product categories. The exemption takes effect September 1, 2025, and applies only to purchases made after that date, not to past tax liabilities.
HB 3864 exempts eight specific personal and household items from Texas sales and use taxes: toilet paper, contact lens solution, reading glasses, dental floss, laundry detergent, dish soap, hand soap, and antiperspirant/deodorant. The bill adds these items to the existing tax exemption list under the Texas Tax Code, meaning consumers would no longer pay sales tax when purchasing them. This change directly affects Texas residents who buy these everyday products, reducing their out-of-pocket costs for essential items. The exemption takes effect September 1, 2025, and does not apply to taxes owed before that date.
HB 1251 proposes to exempt certain educational materials from state sales and use taxes. This would directly reduce costs for schools and educational institutions purchasing qualifying materials, such as textbooks or learning resources. The bill does not specify exact material types but targets items used in educational settings. Currently, the bill is under review by the Ways & Means committee.
