You hear it over and over again. Texas politicians entice employers to the state claiming we don't have a state income tax. Any experienced small business person knows this statement isn't completely true. All corporate entities have to file a state income tax return. But individuals don't pay any income tax in Texas. But we all pay the dreaded property tax.
Property tax rates vary from location to location. In the Houston area, property tax rates exceed 3% of the property value. That adds up really quickly when you consider they are taxing not only your land and buildings but your equipment, vehicles, machines, inventory, furniture and fixtures.
Different Types of Property for Businesses