Texas’ tax system is one of the most regressive in the country, meaning it falls especially hard on the poor. Texas relies on sales tax for more than half its tax revenue. Poorer families pay a disproportionate share of their income in sales taxes. In Texas, the poorest families pay 14 percent of their income in state taxes; the richest families pay 3.6 percent. Some state lawmakers are proposing a sales tax hike to pay for road construction and help the Texas Department of Transportation out of debt. That would force poorer families to pay an even greater share of their income in state taxes.
Sources: Center for Public Priorities; Texas Comptroller of Public Accounts.
Illustration by Joanna Wojtkowiak