Texas Tax Overview
Texas has no personal income tax, a provision protected by its state constitution. The state compensates with relatively high property taxes averaging around 1.60% and a 6.25% state sales tax that can reach 8.25% with local additions. Texas is the second-largest state by both population and economy, attracting significant business relocation.
Texas Tax Quick Facts (2026)
| Income Tax | None |
| Sales Tax (State) | 6.25% |
| Property Tax (Avg Effective) | 1.60% |
| Median Household Income | $73,035 |
| Capital | Austin |
| Population | 30.5 million |
Frequently Asked Questions About Texas Taxes
Does Texas have a state income tax?+
No, Texas does not impose a state income tax on personal income. It is one of nine US states with no income tax.
What is the property tax rate in Texas?+
The average effective property tax rate in Texas is approximately 1.60% of assessed home value. On a $300,000 home, that is about $4,800 per year.
What is the sales tax rate in Texas?+
The state sales tax rate in Texas is 6.25%. Local jurisdictions may add additional sales tax.
What is the median household income in Texas?+
The median household income in Texas is approximately $73,035 per year.
How does Texas's tax burden compare to other states?+
Texas's total tax burden depends on income tax, property tax, and sales tax combined. Use the calculator above to compare your specific situation.
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James Whitfield, CPA, MST
James Whitfield is a Certified Public Accountant with a Master of Science in Taxation. He specializes in US federal and state tax calculations and ensures all tax-related tools meet current IRS guidelines. Last updated: April 2026. Uses 2026 tax year data from state revenue departments and IRS publications.