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New Texas laws taking effect in 2026

By Caden Keenan

New Texas laws taking effect in 2026

AMARILLO, Texas (KAMR/KCIT) - While communities across the state of Texas gear up to celebrate the new year, they should also be aware of a few new state laws taking effect as soon as the ball drops for 2026.

The 89th Texas Legislature and its two special sessions passed and signed about 3,915 bills into law, many of which went into immediate effect over the summer or at the start of September, with around a dozen taking effect at the start of December. However, more than 60 other laws are set to take effect in 2026.

These new laws cover a range of subjects, from ad valorem taxation and childcare facility regulations to bail, food service licensing and public school finance. Below is an overview of what laws will be in effect in 2026 and when.

January 2026

* HB 22 amends the Tax Code to make all intangible personal property exempt from property taxation.

* HB 30 amends the Tax Code to revise the process through which voter‑approval tax rates (VATR) in disaster areas are calculated and adopted. It also repeals the authorization for a taxing unit in a disaster area to adopt a property tax rate exceeding the VATR rate without an election when the increase is necessary to respond to a disaster.

* HB 149 is the "Texas Responsible Artificial Intelligence Governance Act" and establishes a regulatory framework for the use of artificial intelligence systems in Texas, including mandatory disclosure requirements and bans on generating certain types of content.

* HB 851 requires an appraisal district's chief appraiser, for each public school district in the appraisal district, to determine and report the number of properties whose owners are receiving tax benefits to the comptroller of public accounts.

* HB 1244 establishes that the ownership of qualified open-space land appraised as agricultural land in the preceding tax year is not considered to have changed for purposes of eligibility for appraisal in subsequent years without a new application under certain conditions.

* HB 1392 establishes that the payment of property taxes is considered timely if the last day to pay the taxes is on a day on which the tax collector's office is closed and the taxes are paid on the next regular business day.

* HB 2067 revises notice requirements for insurers on the declination, cancellation, or nonrenewal of certain types of insurance policies. Insurers must also create reports summarizing their reasons for declinations and submit them to the Texas Department of Insurance.

* HB 2525 amends the Tax Code to provide a property tax exemption for certain property owned or used by a charitable organization that provides charitable housing and services to persons who are at least 62 years of age in an amount that is not less than four percent of the charitable organization's net resident revenue.

* HB 2723 amends the Tax Code to require the chief appraiser of an appraisal district in which a cemetery property is located to grant a cemetery property tax exemption if a person does not apply for the exemption, the owner of the property is not identifiable, and the chief appraiser knows or should know based on a reasonable inspection of the property that the property is used exclusively for human burial.

* HB 2742 amends the Tax Code to require a person, with respect to a taxing unit that has adopted the split‑payment option for the payment of property taxes and mails its tax bills after November 30, to pay the first one‑half of the taxing unit's taxes before the first day of the next month following the first full calendar month following the date the tax bills are mailed.

* HB 3159 amends the Tax Code to exempt hydrocarbons produced from certain qualifying restimulation wells from oil and gas production taxes.

* HB 3370 amends the Tax Code to require the chief appraiser of an appraisal district to accept and approve or deny an application for special appraisal as qualified timber land after the deadline for filing the application has passed under certain conditions.

* HB 3424 amends the Tax Code to revise provisions governing the prepayment of property taxes imposed on certain dealers' heavy equipment inventory.

* HB 3699 amends the Texas Unemployment Compensation Act to remove from that meaning the last person for whom the claimant actually worked and provides that, when used in connection with an initial claim for unemployment compensation benefits, the terms mean an employer as defined under the act for whom the claimant last worked, unless otherwise provided by state or federal law.

* HB 4395 requires electronic submission of public securities and related records of proceedings or credit agreements that an issuer is required to submit to the attorney general for approval and any amendment to such a document that has been approved or registered.

* HB 4738 amends the Finance Code to remove authorizations for a specified portion of each administrative fee for non-real property consumer loans and secondary mortgage consumer loans to be deposited with the comptroller of public accounts for use in carrying out the responsibilities of the Finance Commission of Texas relating to a financial services study.

* HB 4739 repeals a Finance Code provision that requires a portion of certain retail charge agreement delinquency fees to be remitted to the comptroller of public accounts and appropriated for the purpose of financing research and financial education and counseling services facilitated by the consumer credit commissioner.

* HB 5654 amends the Special District Local Laws Code to provide for the creation of the Montgomery County Municipal Utility District No. 263.

* SB 8 requires the sheriff of each county that operates a jail or contracts with a private vendor to operate a jail to request and enter into agreement with U.S. Immigration and Customs Enforcement under the federal Immigration and Nationality Act, or a similar federal program.

* SB 1023 amends the Tax Code to require the property tax rate calculation forms used to calculate and submit a taxing unit's no‑new‑revenue tax rate and voter‑approval tax rate to be capable of including a hyperlink to a document that evidences the accuracy of each entry included in the form, other than an entry making a mathematical calculation.

* SB 1058 amends the Tax Code to require a registered securities market operator, in calculating the entity's total revenue for purposes of the franchise tax, to exclude from its total revenue transaction rebate payments made by the operator to a broker or dealer as part of a securities transaction.

* SB 1106 requires the government of a municipality or county to follow certain submission and reporting rules for property assessments in public improvement districts.

* SB 1453 authorizes a taxing unit to approve a debt rate exceeding its statutorily determined debt rate only if the motion is approved by at least 60% of the members of the governing body and the rate is proposed to be approved by a motion that states the rate determined under applicable state law, states the proposed rate, states the difference between the proposed rate and the determined rate, and describes the purpose for which the excess revenue collected from the proposed rate will be used.

* SB 1455 amends the Insurance Code and Labor Code to change the funding mechanism for regulating workers' compensation and workers' compensation insurance.

* SB 1502 mends the Tax Code to prohibit the governing body of a public school district from adopting, without an election, a tax rate in response to certain disasters that have impacted the district for a tax year under certain circumstances.

* SB 1522 amends the Health and Safety Code to revise and update provisions of the Texas Continuing Care Facility Disclosure and Rehabilitation Act.

* SB 1951 amends the Tax Code to revise the requirement for the chief appraiser to deliver a notice of the imposition of a penalty on a person who fails to timely file a rendition statement or property report.

* SB 1968 amends the Occupations Code to set out and revise provisions relating to the licensing and regulation of real estate brokers and sales agents by the Texas Real Estate Commission (TREC) under The Real Estate License Act.

* SB 2206 repeals a franchise tax credit for certain research and development activities and a sales and use tax exemption for certain property used in those activities. However, the credit is continued and increased through an amendment in the Tax Code.

* SB 2420 establishes the "App Store Accountability Act," which provides for duties of app stores and software developers regarding age verification, parental consent, data protection, and age ratings.

* SB 2520 establishes that in the first year after a person qualifies for a residence homestead exemption based on age or disability, the homestead remains eligible for that same exemption with certain conditions on the tax limitation.

* HB 23 (Special Session II) is a property tax exemption for property in Harris County that is owned by a nonprofit organized exclusively for charitable and educational purposes, held for use in promoting agriculture and supporting youth education.

* SB 14 (Special Session II) requires political subdivisions to provide credits against water and wastewater impact fees for developers for the construction, contribution or dedication of an eligible facility, system, or product resulting in water reuse, conservation, or savings.

Certain other bills have sections that go into effect on January 1, 2026:

* HB 9 will take effect because of the passage of Proposition 9 in the November 2025 elections. This bill increases the value of income-producing tangible personal property subject to exemption from property taxation to $125,000 of the market value of the property and sets out the conditions under which a person is required to render such property.

* HB 16 (Special Session II) is an omnibus bill relating to the state judicial branch's operation and administration. Several sections go into effect in 2026:

* HB 247 will go into effect because of the passage of Proposition 17 in the November 2025 elections. It creates a property tax exemption for the appraised value of a property that arises from the installation or construction of border security infrastructure.

* HB 1399 will go into effect because of the passage of Proposition 5 in the November 2025 elections. This allows for a tax exemption for animal feed held by he owner for retail sale.

* HB 2508 will go into effect because of the passage of Proposition 7 in the November 2025 elections. This creates a property tax exemption for the surviving spouses of US armed services veterans.

* HB 2789 revises provisions regulating child welfare, such as licensing for community-based care contractors, family homes and childcare facilities. It removes certain screening and health regulations, and has a revised liability insurance coverage requirement that goes into effect in January 2026.

* HB 4044 establishes tax credits for public institutions of higher education and university systems rehabilitating certain historic structure. The institutions and systems will be removed from the provision in 2035.

* SB 9 has multiple sections relating to bail regulations going into effect in 2026:

* SB 16 (Special Session II) creates felony offenses of real property theft and real property fraud with penalty scales based on the market value of the real property or the value of the benefit received. Effective January 2026, this requires a county clerk to provide law enforcement notice of allegations that a document or instrument purporting interest in real property is fraudulent.

* SB 38 revises the provisions on the eviction process in Texas.

* SB 467 will go into effect because of the passage of Proposition 10 in the November 2025 elections. This creates a temporary property tax exemption for a home completely destroyed by a fire.

* SB 1760 revises provisions on guardianship for people who are incapacitated, with Section 5 going into effect in January 2026.

April 2026

As noted above, SB 9 has multiple sections relating to bail regulations going into effect in 2026. In April, Articles 17.021(b) and 17.027(a) and (a-1), Code of Criminal Procedure, will go into effect.

June 2026

HB 198 is the "Wade Cannon Act," which requires a political subdivision to offer each employed firefighters an annual occupational cancer screening that is free, confidential, and includes other specified health screenings beginning in the fifth year of the firefighter's employment, unless the subdivision offers an annual occupational medical examination under eligible conditions.

SB 2018 establishes a "strong families tax credit," for taxable entities that make designated contributions to eligible nonprofits that provide case management services for at-risk families or other services and resources focused on parenting.

July 2026

HB 2844 provides for the licensing, regulation and inspection of mobile food vending operations provided by the Department of State Health Services. While Section 437B.004 took effect in September 2025, the rest of the law takes effect in July 2026.

August 2026

SB 262 establishes alternative eligibility requirements related to education and work experience for practicing public accountancy.

September 2026

* HB 2 is the omnibus bill relating to public education and public school finance. Section 48.112(c) and (d), Education Code, as amended by Article 1, and Sections 2.18, 2.19, 2.20(b), 4.53, 4.54, 4.55, 4.56, 4.61, and 5.28 will take effect in September 2026.

* HB 8 (Special Session II) requires the Texas Education Agency to transition away from the State of Texas Assessment of Academic Readiness (STAAR) assessment program to a new program it will develop for different tests held at multiple checkpoints during the school year. Section 4.020 takes effect in September 2026.

* HB 16 (Special Session II) is an omnibus bill relating to the state judicial branch's operation and administration. Several sections go into effect in 2026, including Sections 1.09, 1.10, 1.15, 1.17, and 1.19 in September.

* HB 140 abolishes the Family and Protective Services Council and requires the Department of Family and Protective Services to establish an advisory committee on child protective investigations.

* HB 912 amends the Utilities Code to specify that existing statutory provisions related to compensation for distributed renewable generation owners that choose interconnection through a single meter apply, unless the Public Utility Commission of Texas (PUC) approves an alternative method for the compensation of such an owner for electricity generated by distributed renewable generation or a qualifying facility.

* HB 1056 recognizes gold and silver specie as legal tender in Texas.

* HB 1240 amends certain provisions to incorporate a Government Code definition of the "Texas-Mexico border region," specifying the counties comprising that region.

* HB 2963 requires equipment manufacturers of digital electronic equipment wholesaling for at least $50 to make documentation, replacement parts and tools required for diagnosis, maintenance or repair available "on fair and reasonable terms" to owners and independent repair providers.

* HB 3307 updates continuing education requirements for people serving as an arbitrator in taxpayer appraisal protests.

* HB 5424 amends the Government Code to limit a fire department's compensation, reimbursement, or provision of benefits in a calendar year to volunteer or auxiliary firefighters to 20% of the highest total compensation paid to full-time fire protection personnel by the applicable county.

* SB 568 amends the Education Code to revise regulations on special education in public schools, including funding for special education under the foundation school program. Sections 53, 54, 55, 56, 57, and 62 take effect in September 2026.

* SB 785 bans a municipality from requiring a specific use permit or other similar purpose for a new HUD-code manufactured home if the home has been built according to federal law and the municipality does not require a specific use permit for other homes in the same zoning classification.

* SB 1036 is the "Residential Solar Retailer Regulatory Act," regulating residential solar retail transactions and establishing occupational registration requirements for solar retailers and salespeople. Sections 1806.101 and 1806.102 and Subchapter E, Chapter 1806, Occupations Code, take effect in September 2026.

* SB 2155 revises provisions throughout the Veterinary Licensing Act, and authorizes the State Board of Veterinary Medical Examiners or its executive director to issue emergency orders suspending or revoking authorizations from its programs when action is required to protect public health and safety. Section 37 takes effect in September 2026.

October 2026

Part of HB 16 (Special Session II), the omnibus bill relating to the state's judicial branch's operation and administration, will go into effect in October 2026, including Section 1.18.

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