WeVote
Log In

Bill

Bill

HB 3486

Relating to a deduction from the amount of taxable sales used to calculate the amount of sales and use taxes that the owners of restaurants that purchase Texas farm-raised oysters are required to remit to the comptroller of public accounts.

89th Legislature (2025) Introduced by Adam Hinojosa and 4 co-sponsors

Texas restaurants can now deduct Texas farm-raised oyster purchases from sales tax calculations, reducing tax liability for establishments sourcing locally-raised oysters.

Effective on . . . . . . . . . . . . . . .
#business&commerce--general(i0050) #comptrollerofpublicaccounts(v2608) #oysters(s0292) #taxation--franchise(i0807) #taxation--sales(i0800)
0
WeVote Research Nonpartisan
Bill Summary · HB 3486

Legislative bill overview

HB 3486 allows restaurant owners in Texas to deduct the cost of Texas farm-raised oysters from their taxable sales when calculating sales and use taxes owed to the state. This creates a targeted tax deduction specifically for purchases of locally-sourced oysters, reducing the tax burden on restaurants that source this product domestically.

Why is this important

This bill provides direct financial relief to restaurants purchasing Texas oysters, lowering their operational costs and potentially incentivizing support for the state's aquaculture industry. The measure reflects a policy choice to subsidize local seafood production through the tax code, which could support coastal economies and oyster farming operations in Texas.

Potential points of contention

  • Selective industry favoritism: The deduction applies only to oyster purchases, raising questions about why this specific product receives preferential tax treatment while other local agricultural products do not
  • Revenue impact: The tax deduction reduces state revenue collected, with unclear estimates of the fiscal cost to the state budget
  • Enforcement complexity: Restaurants must distinguish and track Texas farm-raised oysters separately from other oyster sources, creating administrative burden and potential verification challenges

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.