bill exempting teacher classroom supplies from sales tax

The text as introduced · 451 words

89R7726 JBD-F

By: Garcia of Bexar
H.B. No. 2362

A BILL TO BE ENTITLED

AN ACT

relating to an exemption from sales and use taxes for educational

materials purchased by a teacher.

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

SECTION 1. Effective January 1, 2026, Subchapter H, Chapter

151, Tax Code, is amended by adding Section 151.3272 to read as

follows:

Sec. 151.3272. EDUCATIONAL MATERIALS PURCHASED BY TEACHER.

(a) In this section, "educational material" means a taxable item

used for an educational purpose. The term includes:

(1) if used primarily for an educational purpose:

(A) a school supply as that term is defined by

Section 151.327; or

(B) a book or other similar learning tool;

(2) if used exclusively for an educational purpose or

a purpose related to employment as a teacher, an item of technology;

and

(3) if used exclusively for an educational purpose in

the classroom, any other item used as a learning tool.

(b) The sale or storage, use, or other consumption of an

educational material is exempted from the taxes imposed by this

chapter if:

(1) the educational material is purchased by a teacher

employed at a public school or open-enrollment charter school; and

(2) the teacher completes, signs, and presents at the

time of purchase the exemption certificate form described by

Subsection (c).

(c) The comptroller, in coordination with the Texas

Education Agency, shall develop an exemption certificate form that

a teacher must complete and use to claim the exemption provided by

Subsection (b). The comptroller and the Texas Education Agency

shall make the form available on the comptroller's and agency's

Internet websites. The exemption certificate must include a

requirement that a teacher completing the form describe the

educational purpose of an educational material described by

Subsection (a)(3) for which the teacher seeks an exemption.

(d) A teacher may purchase not more than $500 of educational

materials described by Subsection (a)(3) in a calendar year using

the exemption under Subsection (b).

SECTION 2. Not later than December 31, 2025, the

comptroller of public accounts and the Texas Education Agency shall

post on the comptroller's and agency's Internet websites the

exemption certificate form as required by Section 151.3272, Tax

Code, as added by this Act.

SECTION 3. The changes in law made by this Act do not affect

tax liability accruing before the effective date of this Act. That

liability continues in effect as if this Act had not been enacted,

and the former law is continued in effect for the collection of

taxes due and for civil and criminal enforcement of the liability

for those taxes.

SECTION 4. Except as otherwise provided by this Act, this

Act takes effect September 1, 2025.