Texans to get tax exemption on diapers, menstrual products and bandages
The bill also adds exemptions for baby wipes, maternity clothing, baby bottles and breast milk pumping and storage products.
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AUSTIN (KXAN) -- Senate Bill 379, which removes state sales taxes from the purchase of several items, including bandages, diapers and menstrual products, passed the Texas Legislature during the state's legislative session. It goes into effect Sept. 1 unless vetoed by Texas Gov. Greg Abbott.
The bill also adds exemptions for baby wipes, maternity clothing, baby bottles and breast milk pumping and storage products.
“We are thrilled to see Texas prioritize the health and well-being of families, babies and women by removing the sales tax on essential items. This is a great step towards a healthier Texas," Holly McDaniel, executive director of Austin Diaper Bank, said.
For taxable products, Texas sales tax is 6.25% of a product's value, and municipalities can also impose an additional sales tax of up to 2%, according to the Texas Comptroller's Office.
A fiscal analysis by the Legislative Budget Board forecasts that these exemptions will remove $226.7 million from the state budget. Leading into the legislative session, Texas had a $32.7 billion budget surplus, which makes the tax revenue loss only .7% of that surplus.
In 2022, the City of Austin and Austin ISD made menstrual products freely available at the following locations:
- AISD schools
- City-owned showers and bathrooms accessible to people experiencing homelessness;
- Austin Public Health facilities that serve the public, including neighborhood centers and sexual health clinics;
- Austin Public Library facilities; and,
- City-owned community recreation centers and summer camps.