Texas Sales Tax Relief: What You Should Know
Texas sales tax relief is just around the corner. Here are the items that will soon be tax-free in Texas.
Under new Texas sales tax legislation signed by Gov. Greg Abbott, some essential baby care items and feminine hygiene products will become tax-exempt in Texas.
“Every penny does count for families in Texas, and they have to struggle between buying diapers and buying food sometimes,” said Texas Rep. Donna Howard (D-48) in a statement regarding a similar sales tax relief bill she sponsored last year. (That bill never became law.)
Texas joins several other states that have cut sales taxes for products considered essential for families.
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Texas Sales Tax Relief Bill: What’s Included
Currently, shoppers can purchase groceries and prescription medications tax-free in Texas. Texans can also buy other essentials tax-free beginning Friday, September 1 when baby diapers, baby wipes, baby bottles and maternity clothing will be exempt under the legislation. The sales tax relief bill also makes the following items tax-free in Texas.
- Nursing bras and nursing pads
- Adult diapers
- Women’s menstrual products (sanitary napkins, tampons, etc.)
- Wound care dressings (for example, sterile bandages)
Kiplinger previously reported on states’ efforts to eliminate sales tax on diapers and other essential items. At least fourteen other states have already permanently eliminated the tax on diapers. Efforts to eliminate sales tax on diapers and other essential items spiked during 2022 as inflation wreaked havoc across the U.S., and the number of states without a diaper tax continues to grow in 2023.
Texas Tax Changes in 2023
While Texans eagerly await the property tax relief Texas lawmakers have agreed to (and for the new sales tax exemptions to become effective), other Texas 2023 tax changes have already taken effect. For example, Texas’ new tax on electric vehicles means that Texans who buy or drive EVs in the state will see much higher registration fees.
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Katelyn has more than 6 years of experience working in tax and finance. While she specialized in tax content while working at Kiplinger from 2023 to 2024, Katelyn has also written for digital publications on topics including insurance, retirement, and financial planning and had financial advice commissioned by national print publications. She believes knowledge is the key to success and enjoys providing content that educates and informs.
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