May 5, 2025
Texas is one of only 9 states that taxes business inventory and equipment such as desks and computers
NFIB, the nation’s leading small business advocacy organization, today launched a digital advertising campaign calling on lawmakers to provide immediate relief to small business owners by cutting the state’s costly inventory tax.
The ads direct people to ProtectTexasSmallBusiness.org, a website detailing how the inventory tax penalizes small businesses, increases operating costs, and stifles growth. Texas is one of just nine states that taxes business inventory and personal property, forcing entrepreneurs to pay taxes not only on equipment they already own but also on unsold inventory.
“Small business owners are resilient and resourceful, but they need lawmakers to act,” NFIB State Director Jeff Burdettsaid.
“Main Street is facing unprecedented economic pressures, from inflation to soaring labor costs,” he said. “Cutting the inventory tax would be a simple way lawmakers could ease their financial uncertainty, support job creation, and strengthen Texas’s economy.”
The digital campaign underscores the fact that 99.8% of all businesses in Texas are small businesses, employing 45% of the state’s workforce. Increasing the exemption for the inventory tax would free up resources for small business owners to reinvest in their operations, employees, and communities.
NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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