Exempt Professional Services in Texas
Texas is known for its tax-free services, which include professional services such as those offered by doctors, lawyers, accountants, barbers and hairdressers, interior designers, and car repair services.
Taxable Services in Texas
Some services are taxable in Texas, such as cable television, entertainment, garbage collection, floral services, construction services, telecommunications services, gas and electricity services, and non-residential real estate repair and remodeling services.
Sales Tax Information in Texas
- Food products like flour, sugar, bread, milk, eggs, fruits and vegetables are not subject to Texas sales and use tax.
- Tax is due on non-food items like paper, pet, beauty, clothing, books, and certain edible items.
- Most footwear and clothing sold for less than $100 are tax-free during the sales tax holiday.
Texas imposes a 6.25 percent state sales and use tax on all retail sales, leases, and rentals of most goods, as well as taxable services.
When you provide a professional service, such as engineering or bookkeeping, and use a computer as a tool to complete that service, your charges are not taxable. Charges for computer program repair, maintenance, or restoration by the seller are taxable.
Some information listed in the Texas Public Information Act is not open to the public.
Texas has no state property tax. Property tax rates and revenue are set by local taxing units to provide local services.
Texas does not have an individual income tax. It relies on sales and use taxes instead.