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Ask Mark Taylor Your Own Question
Mark Taylor
Mark Taylor, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 2074
Experience:  Certified Public Accountant
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I have a retail company and we're opening a store in

Customer Question

Hello,
I have a retail company and we're opening a store in Houston, Texas. My question is how is tabacco taxed in houston. Are you able to map out the difference between tax on tabacco and spirits compared to other products?
Submitted: 8 months ago.
Category: Tax
Expert:  Mark Taylor replied 8 months ago.

Hi, my name is Mark. I will be happy to help you with your questions. What items are you looking for? Cigarettes? Tobacco? What other products?

Customer: replied 8 months ago.
Tabacco, cigarettes and spirits
Expert:  Mark Taylor replied 8 months ago.

Cigarettes have a tax of $1.41 per pack.

https://www.comptroller.texas.gov/taxes/tobacco/cigarette.php

Expert:  Mark Taylor replied 8 months ago.

For Tobacco, the tax is $1.46 for under 1.2 ounces. The amount increases for each fraction of an ounce.

https://www.comptroller.texas.gov/taxes/tobacco/other-rates.php

Expert:  Mark Taylor replied 8 months ago.

The tax rate for alcohol is 8.25% for Houston there is an additional excise tax of $0.20 per gallon of Beer or Wine, and $2.40 per gallon of liquor. The retail sales tax rate is 8.25 for Texas.

Expert:  Mark Taylor replied 8 months ago.

The $1.41 per pack and the $1.46 per ounce is in addition to the 8.25 % sales tax.

Expert:  Mark Taylor replied 8 months ago.

This link may be helpful for you.

https://www.salestaxhandbook.com/texas/tobacco