TX HB452

Establishes an annual sales and use tax refund for small businesses that pay ad valorem (property) taxes on income-producing tangible personal property

Refund amount equals the ad valorem tax paid on income-producing tangible personal property in the previous tax year, but cannot exceed the total sales and use taxes paid by the business

Applies only to small businesses as defined by Government Code Section 481.401(10) and those who file a property rendition statement under Tax Code Section 22.01

Authorizes the comptroller to establish additional rules and procedures for claiming the refund

Takes effect January 1, 2026, and applies only to ad valorem taxes imposed for tax years beginning on or after that date