Exempts certain water-related equipment and supplies from sales and use taxes in Texas.

The bill amends the Texas Tax Code to exempt specific water-related equipment and supplies from sales and use taxes. This includes rainwater harvesting equipment, water recycling and reuse equipment, desalination equipment, brush control equipment, precipitation enhancement equipment, and equipment for water or wastewater systems. It also exempts tangible personal property used to process, reuse, or recycle water for hydraulic fracturing at oil or gas wells. The exemption does not affect tax liabilities accruing before the effective date of the Act, which is September 1, 2025.

Exempts certain water-related equipment and supplies from sales and use taxes in Texas.

The bill amends the Texas Tax Code to exempt specific water-related equipment and supplies from sales and use taxes. This includes rainwater harvesting equipment, water recycling and reuse equipment, desalination equipment, brush control equipment, precipitation enhancement equipment, and equipment for water or wastewater systems. It also exempts tangible personal property used to process, reuse, or recycle water for hydraulic fracturing at oil or gas wells. The exemption does not affect tax liabilities accruing before the effective date of the Act, which is September 1, 2025.