Texas HB4648 repeals ad valorem taxes, prohibits local sales and use taxes, and enacts a uniform state sales tax to fund school districts and local.

Texas HB4648 aims to overhaul the state's tax system by prohibiting ad valorem taxes and local sales and use taxes, while establishing a uniform state sales tax. Effective January 1, 2026, the bill bans ad valorem taxes and local sales and use taxes, except for certain exceptions. It also increases the state sales tax rate to 15 percent. School districts will be funded through the new uniform state sales tax, starting from the 2026-2027 school year. The bill also mandates the establishment of private citizens boards in each school district to oversee funding.

Texas HB4648 repeals ad valorem taxes, prohibits local sales and use taxes, and enacts a uniform state sales tax to fund school districts and local.

Texas HB4648 aims to overhaul the state's tax system by prohibiting ad valorem taxes and local sales and use taxes, while establishing a uniform state sales tax. Effective January 1, 2026, the bill bans ad valorem taxes and local sales and use taxes, except for certain exceptions. It also increases the state sales tax rate to 15 percent. School districts will be funded through the new uniform state sales tax, starting from the 2026-2027 school year. The bill also mandates the establishment of private citizens boards in each school district to oversee funding.