Acting Texas Comptroller Kelly Hancock announced the monthly sales tax revenue report for June on July 1, 2025. According to Hancock, the state’s sales tax revenue for June totaled $4.04 billion, representing a 2.5 percent increase over June 2024. The majority of the sales tax revenue for June is derived from sales made in May and submitted to the agency in June.
Unlike the state, the City of Brownfield experienced a decline in sales tax revenue. In June, the revenue totaled $138,215.12, representing a 2.79% decrease from $142,190.28 collected during the same period last year. Despite this recent decline, Brownfield’s year-to-date revenue remains up by 16.55%, totaling $1,236,217.86 compared to $1,060,612.40 in the previous year. Similarly, Terry County also saw a decrease in sales tax revenue compared to last year, bringing in $58,156.99 this June, down from $62,004.14 from the same month last year, which is a 6.20% decrease. However, the county’s year-to-date revenue increased from $461,294.27 to $490,370.03, reflecting a 6.30% growth.
The small cities in the county performed well, with Meadow reporting a 10.13% increase in sales tax revenue compared to this time last year, rising from $1,720.77 to $1,895.17. However, due to a lack of revenue in the past several months, Meadow’s year-to-date revenue has decreased by 19.08%, falling from $14,821.42 to $11,992.65.Similarly, the City of Wellman experienced a significant improvement in revenue, with an increase of 113.70% from the previous year, rising from $654.75 to $1,399.25. Despite this growth, Wellman is still working to recover its year-to-date revenue, which is down by 9.46%, dropping from $14,558.54 to $13,180.74.
Hancock said, “State sales tax collections exhibited moderate growth compared with June 2024, and this comes on the heels of consecutive months of strong growth in both April and May.”
According to Hancock, several sectors influenced primarily by business spending saw notable changes. Remittances from the manufacturing sector recorded the strongest growth, while receipts from the construction sector experienced positive growth for the first time since February. However, collections from the mining sector declined after showing strong growth in the previous two months.
In sectors driven mainly by consumer spending, both the retail trade and service sectors showed moderate increases compared to June 2024. Within retail trade, electronic shopping, the largest segment, experienced significant double-digit growth compared to the same month last year. Conversely, receipts from furniture stores and home improvement centers declined significantly year-over-year, while collections from general merchandise stores decreased slightly. On a positive note, receipts from restaurants continued to rise compared to a year ago, exceeding the rate of inflation for food away from home in May.
Total sales tax revenue for the three months ending in June 2025 increased by 4.8 percent compared to the same period last year. Sales tax remains the largest source of funding for the state budget, accounting for 58 percent of all tax collections.
Texas collected the following revenue from other major taxes:
- motor vehicle sales and rental taxes — $629 million, up 12 percent from June 2024;
- motor fuel taxes — $343 million, up 1 percent from June 2024;
- oil production tax — $405 million, down 18 percent from June 2024;
- natural gas production tax — $214 million, up 25 percent from June 2024;
- hotel occupancy tax — $68 million, down 5 percent from June 2024; and
- alcoholic beverage taxes — $161 million, up less than 1 percent from June 2024.
