Sales Tax Holiday: Save on Water-Efficient, ‘Energy Star' Products This Weekend

The Texas Comptroller's office expected Texas shoppers to save an estimated $14.3 million this weekend

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If you're looking to update your appliances or invest in products that help conserve water outdoors, now is the time to buy. Texas' tax-free weekend for ENERGY STAR® appliances and water-efficient products is back this Memorial Day weekend.

The 2023 tax-free ENERGY STAR Sale Tax Holiday begins Saturday, May 27 and ends at midnight Monday, May 29.

"Older, inefficient appliances and outdated water systems can put a tremendous strain on our power grids and water supplies,” Texas Comptroller Glenn Hegar said. “By taking advantage of these sales tax holidays, Texans can make upgrades that will help alleviate those pressures and lower their utility bills — while saving money on state and local sales taxes.”

While some items may be rated as Energy Star appliances, only the following appliances and household equipment are eligible to be bought, rent or leased tax free:

  • Air conditioners priced at $6,000 or less
  • Refrigerators priced at $2,000 or less
  • Ceiling fans
  • Incandescent and fluorescent light bulbs
  • Clothes washers
  • Dishwashers
  • Dehumidifiers

Along with saving on sales tax, appliances that are ENERGY STAR-rated decrease monthly utility bills by reducing water and energy use, according to Texas Comptroller's Office.

It is not just appliances. You can also purchase, tax-free, certain water-efficient products and landscape plants. The Texas Department of Agriculture says these plants use less water and can be identified by the EPA WaterSense® tag. Timers, soaker hoses and mulch also qualify.

Products inside the home also qualify, including toilets, showerheads and bathroom faucets.

However, be aware that delivery, shipping, handling and transportation charges by the seller are part of the item's sales price. So, if the total price exceeds the state's cap, you'll have to pay tax on the entire purchase price.

Some items do not qualify and are taxable, even if they are labeled with ENERGY STAR.

  • Water heaters
  • Clothes dryers
  • Freezers
  • Stoves
  • Attic fans
  • Heat pumps
  • Wine refrigerators
  • Kegerators
  • Beverage chillers

The Texas Comptroller's office expected Texas shoppers to save an estimated $14.3 million in state and local sales tax during the annual Memorial Day weekend sales tax holiday.

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