Texas tax burden — broken down.
Texas’s combined tax burden (income + property + sales) lands at 8.00% on our composite — ranking #39 of 51 jurisdictions. Texas levies no state income tax — burden comes entirely from property and sales taxes.
Texas burden, broken into 3 components
| Component | Texas rate | National median |
|---|---|---|
| Top marginal income | 0.00% | ~5.30% |
| Effective property | 1.75% | ~1.07% |
| State sales tax | 6.25% | ~5.50% |
| Combined composite | 8.00% | ~11.87% |
National medians from CalcFi’s 51-state composite. Top marginal is the headline single-filer rate, NOT the effective rate most households actually pay.
Retirement + Social Security in Texas
Texas does NOT tax most retirement income (pensions, IRA / 401(k) distributions). Social Security benefits are NOT taxed by Texas. Federal taxation of these income sources is unchanged regardless of state.
How Texas compares
Of all 51 US jurisdictions ranked by combined burden composite, Texas sits at #39. That places Texas in the middle of the pack — burden is moderate without being a particular outlier in either direction. For the live cross-state heat map, see the interactive tax burden map.
Texas metros — local tax overlay
State rates are uniform across Texas— but local income, property, and sales taxes vary. Click any metro to run the full income tax calculator pre-populated with that city’s local layer.
- Houstonproperty 1.90% · pop 7.5Mmedian $67,800 →
- Dallasproperty 1.80% · pop 7.8Mmedian $69,400 →
- San Antonioproperty 1.80% · pop 2.6Mmedian $58,600 →
- Austinproperty 1.80% · pop 2.3Mmedian $83,800 →
- Fort Worthproperty 1.80% · pop 1.0Mmedian $66,200 →
- El Pasoproperty 1.80% · pop 0.9Mmedian $48,000 →
- Corpus Christiproperty 1.80% · pop 0.5Mmedian $56,800 →
- Laredoproperty 1.80% · pop 0.3Mmedian $44,800 →
- Lubbockproperty 1.80% · pop 0.3Mmedian $52,400 →
- Amarilloproperty 1.80% · pop 0.3Mmedian $56,400 →
Texas tax — common questions
What is the Texas top marginal income tax rate in 2025?
Texas levies no state income tax. Top marginal rate is 0%.
What is the Texas effective property tax rate?
Texas's statewide effective property tax rate is 1.75% of home value (annual). On a $400,000 home that's roughly $7,000/yr. Local variation can be ±0.5pp.
Does Texas tax retirement income or Social Security?
Texas does NOT tax most retirement income, and does NOT tax Social Security benefits.
Are there any Texas-specific tax quirks I should know about?
No state income tax, but Texas has the 7th-highest property tax burden (1.68% effective rate) — a $400k home pays ~$6,720/yr. Sales tax up to 8.25% combined.
For the full Texas state tax breakdown — every bracket, every deduction, all the edge cases — read our deep Texas state tax guide →
Reviewed by CalcFi Editorial · Source: Tax Foundation State Individual Income Tax Rates (Jan 2025). Last verified 2026-04-19. Methodology at /about/editorial.