Texas Comptroller Don Huffines distributed $1.3 billion in local sales tax revenue collected in September to Texas cities, counties, transit systems and special purpose districts, according to the agency. The allocation marked an 11.6% increase compared to September 2025.
The distribution includes $796 million to cities, $263.9 million to transit systems, $79 million to counties, and $133.4 million to special purpose districts. Combined state and local net sales tax revenue collected in September totaled $5.7 billion, a 12.4% increase year over year.
The collections reflect sales from August, as most businesses that report monthly file based on the prior month's activity. Net revenue figures account for refunds, overpayment credits and prepayment adjustments, as well as the state's 2% administrative fee, according to the comptroller's office.
Comptroller Huffines said the increased sales tax revenue offers local elected officials an opportunity to reduce property taxes. "Lower property taxes can help make housing more affordable and reduce the everyday financial strain many Texans face," he said.