San Antonio Sales Tax Falls 4% in September
Texas Comptroller data shows San Antonio's September sales tax collections declined while neighboring major Texas cities posted gains.
Updated on Nov. 3, 2026 in Employment
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San Antonio sales tax collections for September dropped more than 4% compared with September 2025, according to the Texas Comptroller's Office. The state allocated more than $38 million back to the city for the month.
Why it matters
The decline contrasts with statewide sales tax growth of 13% and gains in Austin, Dallas and Houston, raising questions about the city's local consumer spending. Sales tax revenue funds a portion of city services, so the drop is closely watched by local officials.
The Texas Comptroller's Office reported San Antonio's September sales tax collections fell more than 4% from the prior year, while statewide collections rose 13%. The source does not explain what drove the local decline.
The players
Don Huffines
Texas State Comptroller who reported statewide sales tax collections were up 13% compared with a year earlier.
The details
The city's sales tax rate was listed as changing from 1.250% to 1.25%, a formatting-level change. Statewide retail sales tax revenue rose 11% and restaurant sales tax rose a little more than 2%, while motor vehicle and rental sales tax fell 1%.
Timeline
September 2025: baseline month for the year-over-year sales tax comparison.
September 2026: San Antonio's unemployment rate was reported at 4.3%, up from 4.2% a year earlier.
Next legislative session: lawmakers are expected to prioritize property tax relief.
Economic Pulse
San Antonio's September dip runs against the statewide gain of 13% reported in the Comptroller's monthly local allocation series. The divergence from Austin, Dallas and Houston makes the city an outlier in this year-over-year comparison.
A drop in city sales tax collections can affect the local budget that funds public services. Shoppers and businesses in San Antonio may see the effects of this trend in local revenue planning rather than in prices directly.
The takeaway
Monthly sales tax data offers a snapshot of local spending that can diverge sharply between neighboring Texas cities. Tracking these figures over several months helps separate one-time swings from lasting trends.
Further reading
Explore more San Antonio employment coverage for local labor and economic context.
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