Compare state tax rates and rules — on income, ordinary purchases, gas, sin products, property, and more — across the U.S. Go to the Kiplinger Tax Map Texas Add to State Compare List | View List View State Compare List (0) selected | Compare up to 5 The Bottom Line Tax Friendly The Lone Star State is a place of extremes. There’s no income tax at all. On the other hand, sales taxes run high, as do property taxes. As befits a place that pumps a lot of oil out of the ground, fuel taxes are low. Sales Tax 6.25% state levy. Localities can add up to 2%, with an average combined rate of 8.19%, according to the Tax Foundation. Income Tax Range Texas has no state income tax. Motor Fuel Taxes Gasoline: $0.2000 per gallon. Diesel: $0.2000 per gallon. Property Taxes In Texas, residents pay an average $1,993 in taxes per $100,000 of assessed home value. Vehicle Taxes Sales tax is due on purchases. Sin Taxes Cigarettes: $1.41 per packOther tobacco products: $1.22 per ounceCigars: $0.01 to $0.15 per cigar, depending on weightBeer: $0.20 per gallonWine: $0.20 per gallonLiquor: $2.40 per gallon Taxes On Wireless Service 11.77% Inheritance and Estate Taxes None. About our methodology