Texas HB134 modifies the location at which certain sales are considered consummated for local sales and use tax purposes.

Texas HB134 amends the Tax Code to redefine the location at which sales are considered consummated for local sales and use tax purposes. It specifies that sales by small businesses are consummated at the principal business location, while sales by other retailers are consummated at the place of business where the order is received. The bill also allows retailers with economic development agreements to elect to collect and report sales tax based on their location within a municipality. The changes do not affect existing tax liabilities and take effect January 1, 2026.

Texas HB134 modifies the location at which certain sales are considered consummated for local sales and use tax purposes.

Texas HB134 amends the Tax Code to redefine the location at which sales are considered consummated for local sales and use tax purposes. It specifies that sales by small businesses are consummated at the principal business location, while sales by other retailers are consummated at the place of business where the order is received. The bill also allows retailers with economic development agreements to elect to collect and report sales tax based on their location within a municipality. The changes do not affect existing tax liabilities and take effect January 1, 2026.