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Texas sales tax rate changes, January 2017

  • Dec 8, 2016 | Gail Cole

 Local sales tax rate changes hit Texas in 2017.

Updated 12.15.2016

A number of local sales and use tax rates are set to take effect in Texas on January 1, 2017.

Rate decreases

Corral City, in Denton County, has abolished a city sales and use tax for municipal street maintenance. The new local rate in Corral City is 1.5% (combined rate of 8%), and the new rate in the Corral City Municipal Development District is 0.25%.

The Special Purpose District (SPD) tax in the Gollad Municipal Development District has been abolished.

Rate increases

Gollad, in Gollad County, has imposed additional sales and use tax for Economic and Industrial Development (IDC) and Municipal Street Maintenance and Repair (SMR). The new local rate is 2% (combined rate of 8.25%).

The combined state and local tax rate in Friendswood, which straddles Galveston and Harris counties, will jump to 8.25% due to the imposition of a new 2% city sales and use tax for IDC and SMR.

Los Indios (Cameron County) is also imposing a new 2% city sales and use tax for ICC, bringing the total tax rate to 8.25%.

Additional information, including local codes, is available at the Texas Comptroller.

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photo credit: duncan via photopin cc


Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.