Hancock reports $4.3B in sales tax revenue

Acting Texas Comptroller Kelly Hancock on Monday released the state’s total sales tax revenue for December 2025.

According to the report, the overall sales tax revenue for the month totaled $4.3 billion, 5.7% more than in December 2024. The majority of December sales tax revenue is based on sales made in November and remitted to the agency in December.

“December state sales tax collections were robust, with growth compared to a year ago outpacing inflation — evidence of continued strength in the Texas economy,” Hancock said. “Remittances from the major sectors influenced mainly by consumer spending indicated a strong start to the Christmas holiday shopping season.”

The total sales tax revenue for the last three months ending in December 2025 was up 5.2%, according to the report, compared with the same period a year ago.

Officials noted that sales tax accounts for 58% of tax collections and is the largest source of state funding for the state budget.

According to the comptroller’s release, Texas collected the following revenue from other major taxes including motor vehicle sales and rental taxes at $614 million, up 5% from December 2024; motor fuel taxes at $324 million, up 4% from December 2024; and oil production tax at $394 million, down 9% from December 2024.

Additionally, revenue was collected from the natural gas production tax at $169 million, down 21% from December 2024; hotel occupancy tax at $61 million, up less than 1% from December 2024; and alcoholic beverage taxes at $148 million, down 2% from December 2024.