Texas taxes

Rising costs, slowing tax revenue and a sluggish economy have saddled some of Texas' biggest cities with multimillion-dollar deficits.

Data centers are no longer an emerging industry. Driven by cloud computing, crypto mining and artificial intelligence, they are spreading rapidly across Texas, and the projected cost of the tax break has climbed into the billions. On Monday, the state senate finance committee asked if it was time to end the sales tax break for data centers.

Sales tax collections are a good economic indicator of how consumers are spending.

Texas will have more than 30 new laws on the books come New Year's Day, touching on everything from artificial intelligence regulation to property tax exemptions.

The governor must first win over lawmakers who have rejected similar proposals. The state may have to backfill more than $17 billion for school funding alone.

Texas Attorney General Ken Paxton pointed to bill passed earlier this year focused on unlawful tax increases.

Gov. Greg Abbott formally announced his fourth gubernatorial run in Houston on Sunday. The incumbent Republican, who currently has around $87 million in his campaign war chest, will face two opponents in the 2026 party primary election.

While most proposed amendments on this year's ballot focused on taxes, voters also showed strong support for investing in Texas' network of technical colleges and dementia and Alzheimer's research.

Building out the growing financial hub in Dallas – dubbed Y'all Street – is something state lawmakers are heavily invested in, which is why Texans will be voting Nov. 4 on a handful of constitutional amendments that could help boost the finance industry in the state.

Small sellers say the new tax on fees cuts into already thin margins while the comptroller argues state law requires online marketplaces be taxed like any other data processor.