Texas small businesses are dealing with some of the most difficult economic conditions they’ve seen in years. Growing uncertainty, high labor costs and inflation are making it harder than ever to operate and plan for the future.
Lawmakers can provide immediate, meaningful relief by cutting our state’s inventory tax.
Texas is one of just nine states where business owners pay taxes on the value of their inventory for sale as well as their business personal property including desks, chairs, laptops, machinery, supplies, and everything else used to generate income.
Why it hurts small businesses:
• Requires complicated, time-consuming calculations
• Penalizes growth by taxing inventory that may not sell for months
• Increases already high operating expenses
Cutting the inventory tax by increasing the exemption would allow small businesses to use more of their hard-earned income to grow and invest in their employees and communities.