Relating to exemptions from sales and use taxes for game animals and exotic animals.

89(R) HB 135 - Enrolled version - Bill Text

H.B. No. 135

AN ACT

relating to exemptions from sales and use taxes for game animals and

exotic animals.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 151.316(a), Tax Code, is amended to read

as follows:

(a) Subject to Section 151.1551, the following items are

exempted from the taxes imposed by this chapter:

(1) horses, mules, and work animals;

(2) animal life the products of which ordinarily

constitute food for human consumption;

(3) feed for farm and ranch animals;

(4) feed for animals that are held for sale in the

regular course of business;

(5) seeds and annual plants the products of which:

(A) ordinarily constitute food for human

consumption;

(B) are to be sold in the regular course of

business; or

(C) are used to produce feed for animals exempted

by this section;

(6) fertilizers, fungicides, insecticides,

herbicides, defoliants, and desiccants exclusively used or

employed on a farm or ranch in the production of:

(A) food for human consumption;

(B) feed for animal life; or

(C) other agricultural products to be sold in the

regular course of business;

(7) machinery and equipment exclusively used or

employed on a farm or ranch in the building or maintaining of roads

or water facilities or in the production of:

(A) food for human consumption;

(B) grass;

(C) feed for animal life; or

(D) other agricultural products to be sold in the

regular course of business;

(8) machinery and equipment exclusively used in, and

pollution control equipment required as a result of, the

processing, packing, or marketing of agricultural products by an

original producer at a location operated by the original producer

for processing, packing, or marketing the producer's own products

if:

(A) 50 percent or more of the products processed,

packed, or marketed at or from the location are produced by the

original producer and not purchased or acquired from others; and

(B) the producer does not process, pack, or

market for consideration any agricultural products that belong to

other persons in an amount greater than five percent of the total

agricultural products processed, packed, or marketed by the

producer;

(9) ice exclusively used by commercial fishing boats

in the storing of aquatic species including but not limited to

shrimp, other crustaceans, finfish, mollusks, and other similar

creatures;

(10) tangible personal property, including a tire,

sold or used to be installed as a component part of a motor vehicle,

machinery, or other equipment exclusively used or employed on a

farm or ranch in the building or maintaining of roads or water

facilities or in the production of:

(A) food for human consumption;

(B) grass;

(C) feed for animal life; or

(D) other agricultural products to be sold in the

regular course of business;

(11) machinery and equipment exclusively used in an

agricultural aircraft operation, as defined by 14 C.F.R. Section

137.3;

(12) tangible personal property incorporated into a

structure that is used for the disposal of poultry carcasses in

accordance with Section 26.303, Water Code;

(13) tangible personal property incorporated into or

attached to a structure that is located on a commercial dairy farm,

is used or employed exclusively for the production of milk, and is:

(A) a free-stall dairy barn; or

(B) a dairy structure used solely for maternity

purposes; [
and
]

(14) telecommunications services exclusively provided

or used for the navigation of machinery and equipment exclusively

used or employed on a farm or ranch in the building or maintaining

of roads or water facilities or in the production of:

(A) food for human consumption;

(B) grass;

(C) feed for animal life; or

(D) other agricultural products to be sold in the

regular course of business
;

(15) exotic animals, as defined by Section 23.51; and

(16)

game animals, as described by Section 63.001,

Parks and Wildlife Code
.

SECTION 2. The change in law made by this Act does not

affect tax liability accruing before the effective date of this

Act. That liability continues in effect as if this Act had not been

enacted, and the former law is continued in effect for the

collection of taxes due and for civil and criminal enforcement of

the liability for those taxes.

SECTION 3. This Act takes effect immediately if it receives

a vote of two-thirds of all the members elected to each house, as

provided by Section 39, Article III, Texas Constitution. If this

Act does not receive the vote necessary for immediate effect, this

Act takes effect September 1, 2025.

______________________________

______________________________

President of the Senate

Speaker of the House

I certify that H.B. No. 135 was passed by the House on April

2, 2025, by the following vote: Yeas 118, Nays 27, 1 present, not

voting.

______________________________

Chief Clerk of the House

I certify that H.B. No. 135 was passed by the Senate on May 1,

2025, by the following vote: Yeas 27, Nays 4.

______________________________

Secretary of the Senate

APPROVED: _____________________

Date

_____________________

Governor