Texas charges 6.25% state sales tax, plus local taxes that vary by city and county

The state sales tax rate in Texas is 6.25%. This is the baseline tax applied to most purchases across the state. However, your total sales tax is almost always higher because Texas allows cities and counties to add their own local taxes on top of the state rate.

The combined rate you actually pay depends on where you make the purchase. A city might add 1%, a county might add 0.5%, and a special district might add another 0.125%. These stack on top of the 6.25% state rate. In some Texas cities, the total sales tax reaches 8.25% or higher.

You cannot find a single "Texas sales tax rate" that applies everywhere. The rate at a store in Austin is different from the rate at a store in Houston, which is different from a rural county. The only constant is the 6.25% state portion.

Key Takeaways

  • Texas state sales tax is 6.25%, but your actual rate includes local taxes added by your city, county, and special districts.
  • Combined sales tax rates in Texas range from 6.25% to over 8.25% depending on location.
  • You can find your exact local rate by entering your address into the Texas Comptroller's online tax rate lookup tool.
  • Some items are exempt from sales tax in Texas, including most groceries, prescription medicines, and medical devices.

How local taxes stack on top of the state rate

Texas divides sales tax into layers. The state collects 6.25%. Then your city can add a local sales tax (usually 1% to 2%). Your county can add a county sales tax (usually 0.5% to 1%). Special taxing districts — created for schools, transit, or other purposes — can add another layer.

A purchase in San Antonio, for example, is taxed at 8.25%: the 6.25% state rate plus 1% city tax plus 1% county tax. A purchase in a smaller town might be taxed at 7.25% if the city adds 1% but the county adds nothing. There is no way to know your exact rate without looking it up for your specific location.

The Texas Comptroller of Public Accounts maintains a searchable database where you can enter a street address and see the exact combined rate for that location. This tool is free and updated regularly as cities and counties change their rates.

What items are exempt from sales tax in Texas

Not everything sold in Texas is subject to sales tax. Groceries — unprepared food you cook at home — are exempt. This includes bread, milk, vegetables, meat, and canned goods. Hot food from a deli counter or restaurant is taxed, but cold groceries from a shelf are not.

Prescription medicines are exempt from sales tax. Over-the-counter medicines like aspirin or cold medicine are taxed. Medical devices prescribed by a doctor — such as diabetic supplies, hearing aids, or mobility aids — are also exempt.

Certain other items have exemptions: items sold for resale (a retailer buying stock), agricultural equipment used in farming, and items used in manufacturing. Clothing is taxed in Texas, unlike in some other states. Haircuts, services, and labor are generally not subject to sales tax.

How to find your exact local sales tax rate

The Texas Comptroller of Public Accounts runs a free online tool called the Sales Tax Rate Lookup. You enter your street address, city, and ZIP code, and it returns the exact combined rate for that location, broken down by state, city, county, and special district.

You can also call your city or county tax assessor's office directly. They can tell you the rate and explain which local taxes apply to your area. This is useful if you are moving to a new city or want to understand why the rate changed.

Some retailers print the combined rate on receipts, but not all do. If you see a rate on a receipt that does not match what you expected, the address where the purchase was made — not where you live — determines the tax rate.

Why Texas has different rates in different places

Texas gives cities and counties the power to set their own local sales tax rates within state limits. This means each community can decide how much local tax to charge. A city might use sales tax revenue for schools, roads, or public transit. A county might use it for services across rural areas.

This system creates variation across the state. Border towns sometimes have lower rates to compete with neighboring states. Growing suburbs might raise rates to fund new infrastructure. Rural counties might keep rates low because they have fewer services to fund.

The state rate of 6.25% has not changed since 1990. Local rates change more often as cities and counties adjust their budgets. If you move or shop in a new area, your sales tax rate may be different from what you paid before.

Sales tax on online and mail orders from Texas sellers

If you order something online from a Texas seller and have it shipped to a Texas address, sales tax is calculated based on the delivery address, not the seller's location. The rate that applies is the combined rate where the package arrives.

If you order from an out-of-state seller and have it shipped to Texas, whether you pay sales tax depends on whether that seller has a physical presence or employees in Texas. Many large online retailers now collect Texas sales tax on all orders shipped to the state, but smaller sellers may not.

Texas does not charge sales tax on items shipped out of state, even if the seller is based in Texas. If you have a package shipped to an address outside Texas, no Texas sales tax applies.

Frequently Asked Questions

Is the 6.25% rate the same everywhere in Texas?

No. The 6.25% is only the state portion. Your total rate includes local taxes from your city, county, and possibly special districts. Combined rates range from 6.25% in areas with no local tax to over 8.25% in high-tax cities.

Do I pay sales tax on groceries in Texas?

Unprepared groceries — items you buy to cook at home — are not taxed. This includes bread, milk, vegetables, and canned goods. Hot food from a deli, restaurant, or prepared foods counter is taxed at the full rate.

What if I buy something in one city and use it in another?

Sales tax is based on where you make the purchase, not where you use the item. If you buy something in a 7% tax city and take it to an 8% tax city, you paid 7% tax. You do not owe additional tax.

How do I know the exact sales tax rate for my address?

Use the Texas Comptroller's Sales Tax Rate Lookup tool online. Enter your street address, city, and ZIP code to see the exact combined rate and which taxes apply. You can also call your city or county tax office.

Do I have to pay sales tax on items I order online?

If a Texas seller ships to a Texas address, sales tax applies based on the delivery address. Out-of-state sellers may or may not collect Texas tax depending on their business structure. Check the seller's tax policy before checkout.