bill adds textbooks to the school supply sales tax break

The text as introduced · 401 words

By: Martinez Fischer
H.B. No. 1251

A BILL TO BE ENTITLED

AN ACT

relating to an exemption from sales and use taxes for certain

educational materials.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 151.327, Tax Code, is amended by

amending Section 151.327, Subsection (a), and adding Subsection

(a)(3)to read as follows:

Sec. 151.327. SCHOOL SUPPLIES , EDUCATIONAL MATERIALS, AND

SCHOOL BACKPACKS [ BEFORE START OF SCHOOL. ] (a) In this section:

(1) "Backpack" means a messenger bag, book bag, or a

pack with straps that a person wears on the person's back, including

a backpack with wheels if the backpack can also be worn on the back.

The term does not include an item that is commonly considered

luggage, a briefcase, an athletic bag, a duffle bag, a gym bag, a

computer bag, a purse, or a framed backpack.

(2) "Educational materials" include tools necessary

for in-class learning, such as textbooks and school computers. The

term does not include personal-use technology, such as laptops.

(3) [ (2) ] "School supply" has the meaning assigned by

the Streamlined Sales and Use Tax Agreement adopted November 12,

2002, including all amendments made to the agreement on or before

December 14, 2006.

(a-1) The sale or storage, use, or other consumption of a

school supply , educational material, or a school backpack is

exempted from the taxes imposed by this chapter if the school

supply , educational material, or backpack is purchased:

(1) for use by a student in a public or private

elementary or secondary school or institute of higher education ;

(2) during the period described by Section

151.326(a)(2); and

(2) [ (3) ] for a sales price of less than $100

concerning school supplies and textbooks and a sales price of less

than $175 concerning school computers .

(b) A retailer is not required to obtain an exemption

certificate stating that school supplies , educational materials,

or school backpacks are purchased for use by students in a public or

private elementary or secondary school or institute of higher

education unless the school supplies , educational materials, or

backpacks are purchased in a quantity that indicates that the

school supplies , educational materials, or backpacks are not

purchased for use by students in a public or private elementary or

secondary school or institute of higher education.

SECTION 2. This Act takes effect September 1, 2025.