State Sales Tax Revenue Totaled $4.2 Billion in May

Texas Comptroller Glenn Hegar today said state sales tax revenue totaled $4.2 billion in May, 4.7 percent more than in May 2024. The majority of May sales tax revenue is based on sales made in April and remitted to the agency in May.

The five Lamb County cities received a combined total of $181,842 for sales tax revenue for May.

City by City, their returns were: The City of Amherst received $3,045.55, which is a 2.93% increase over last year’s $2,958.60 return. So far this year, Amherst has received $ 15,513.56, a 6.62% increase over the $14,549.39 it received by this time last year.

The City of Earth received $8,838.99, which is a 4.36% increase over last year’s $8,468.93 return. So far this year, Earth has received $45,027.73, a 20.25% increase over the $37,444.22 it received by this time last year.

The City of Littlefield received $130,022.65, which is a 2.93% decrease over last year’s $133,954.36 return. So far this year, Littlefield has received $574,203.83, a 1.75% decrease over the $584,444.36 it received by this time last year.

The City of Olton received $25,902.06, which is a 6.61% decrease over last year’s $27,736.48 return. So far this year, Olton has received $117,545.99, a 1.35% decrease over the $119,163.85 it received by this time last year.

The City of Sudan received $14,032.75, which is a 19.55% decrease over last year’s $17,444.27 return. So far this year, Sudan has received $77,962.85, a 6.16% increase over the $73,438.57 it received by this time last year.

Over in Hockley County, the City of Anton received $17,269.36, which is a 58.73% increase over last year’s $10,879.22 return. So far this year, Anton has received $51,917.43, a 5.85% increase over the $49,044.61 it received by this time last year.

“ State sales tax collections grew solidly compared with May 2024,” Hegar said. “This follows very strong collections in April and was more than twice the overall rate of general price inflation.

“ Remittances from sectors driven mainly by business spending were once again mixed, with receipts from the construction and wholesale trade sectors coming in below their May 2024 levels, but receipts from the manufacturing sector substantially topping collections from a year ago. Receipts from the mining sector were up by double digits for the second consecutive month. “Remittances from the retail trade sector, the largest sector, grew strongly compared with a year ago. Remittances from general merchandise stores were particularly strong following a decline in April, increasing by double digits compared with the same month a year ago. Collections from the electronic shopping subsector also grew robustly compared with last April, while receipts from grocery stores were slightly down.

“ Receipts from restaurants were up from a year ago and came in slightly above the rate of inflation for food away from home for April.”

Total sales tax revenue for the three months ending in May 2025 was up 3.1 percent compared with the same period a year ago. Sales tax is the largest source of state funding for the state budget, accounting for 58 percent of all tax collections.

Texas collected the following revenue from other major taxes:

• motor vehicle sales and rental taxes — $693 million, up 9 percent from May 2024;

• motor fuel taxes — $339 million, up 4 percent from May 2024;

• oil production tax — $411 million, down 26 percent from May 2024;

• natural gas production tax — $227 million, up 26 percent from May 2024;

• hotel occupancy tax — $70 million, down 1 percent from May 2024; and

• alcoholic beverage taxes — $155 million, up 2 percent from May 2024.

Fiscal 2025 franchise tax collections totaled $ 6.57 billion year-to-date through May. Compared with collections through May 2024, year-to-date franchise tax collections were up 2.9 percent, lower than what was projected in the Comptroller’s 2026-27 Biennial Revenue Estimate.