Texas collected $4.4 billion in state sales tax revenue in September, 11.5% higher than the same month a year ago, driven largely by spending in business-focused sectors, according to the Texas Comptroller of Public Accounts.
The September collections reflect sales made in August and submitted to the Comptroller in September. Growth was strongest in sectors primarily driven by business spending: mining, construction, manufacturing, wholesale trade, and real estate and leasing services all showed double-digit growth compared to September 2025.
Retail trade, the state's largest sales tax category, grew 3% year-over-year, slightly below the 3.4% rise in the Consumer Price Index. Within retail, electronics and appliance stores and automotive dealers showed the largest gains. Restaurant receipts were up 2.5%, below the inflation rate for food away from home.
Year-to-date, Texas has collected $39.6 billion in sales tax revenue, up 7.8% compared with the same period last year. Sales tax accounts for 59% of all state tax collections.
Other major Texas taxes also showed mixed results in September. Motor vehicle sales and rental taxes were up 5%; oil production tax was up 14%; natural gas production tax was up 30%; and hotel occupancy tax was up 10%. Motor fuel taxes were down 1% and alcoholic beverage taxes were down 2%.
