Local Taxes

Local Real Property Tax Rate

Ad Valorem property taxes are based on the value of real property and tangible personal property. Real property includes land, buildings and all improvements or fixtures annexed to the building or structure. Tangible personal property that is used for the production of income includes business inventories, machinery, equipment and furnishings.

The city of Temple is in Bell County and either the Temple, Belton, Troy or Academy Independent School Districts. Depending upon the location of a specific piece of property, the levying jurisdictions will vary. All rates are per $100 of assessed value. To determine the tax, divide the assessed value of the property by 100 and multiply by the rate.

Temple ISD

Belton ISD

Troy ISD

Academy ISD

City of Temple

Bell County

County Road District

Clearwater Underground Water District

Temple College District

Temple Health & Bioscience District

(per $100 assessed value)

Sales Tax Rate

The State of Texas sales tax rate is 6.25%. Texas cities, counties, transit authorities and special purpose districts have the option of imposing an additional local sales tax, for a combined total of state and local taxes of 8.25%. The Sales and Use Tax is imposed on all retail sales, including rentals and leases of most goods. The local sales tax rate in the City of Temple is 1.5% and Bell County is .5%.

State of Texas +
  • 6.25%
Bell County +
  • .5%
City of Temple +
  • 1.5%
= State & Local Taxes
  • 8.25%

Sales Tax Revenue
City of Temple


4.33%

increase over 5 years

FY 2015

FY 2011

MonthFY 11FY 12FY 13FY 14FY 15% Variance
Oct1,511,5351,519,7271,534,8071,675,3393,489,994108.32%
Nov1,128,2081,167,1401,392,5001,479,6951,566,7845.89%
Dec1,165,3671,167,1401,534,8071,419,6951,430,2867.79%
Jan1,797,0631,214,5041,392,5001,960,2212,213,61212.93%
Feb1,059,3351,861,6021,462,3271,433,5921,457,6101.68%
Mar1,284,1231,157,5521,838,3291,400,2191,421,8121.54%
Apr1,599,8041,645,5801,258,1231,835,1071,826,749-0.46%
May1,223,8051,271,9811,414,2451,489,9311,486,686-0.22%
June1,182,6451,476,6971,687,7941,493,8861,461,142-2.19%
July1,679,0851,623,4681,317,6251,709,9591,880,703-9.99%
Aug1,173,9401,342,6091,459,5201,593,9681,567,111-1.68%
Sept1,320,9511,387,3901,480,0151,489,789
PTD Total14,804,91115,580,01116,537,61117,491,68119,802,48713.21%
YTD Total16,125,86216,967,40118,017,62518,981,47119,802,4874.33%

State Taxes

Effective State Corporate Income Tax Rate

The State of Texas levies a margin tax on each taxable entity organized in Texas or doing business in Texas. Margin equals the lowest of three figures:

  1. Total revenue less cost of goods sold
  2. Total revenue less compensation
  3. Or 70% of total revenue

The tax does not apply to sole proprietorships, general partnerships with individual owners, nonprofits or entities with $300,000 or less in gross receipts.

Rate (per $1 MM income) Equals

1.0%

of margin for most taxable businesses.

0.5%

for qualifying retailers and wholesalers.

0.575%

for qualifying entities with $10 million or less in total revenue annualized per 12 month period.

Unemployment Insurance (UI) Tax

Unemployment Insurance (UI) tax is a tax that employers pay to fund unemployment compensation for workers who lose their jobs. The Texas Unemployment Compensation Act (TUCA) requires Texas employers, including sole proprietorships, partnerships and corporations, to pay UI tax. Employers must register with the Texas Workforce Commission and report employees’ names, social security numbers, and total gross wages quarterly. UI tax is paid quarterly.

The first $9,000 a year employers pay each employee is taxable. Employers’ tax rate and the taxable wages they pay determine the amount they owe. New employers pay at a rate of 2.70%. Employers receive an experience rate after six calendar quarters. Their experience rate will vary depending on taxable wages reported and individual claims charged against their account.

Texas UI Tax

  • 2.70% for New Employees

Sales Tax Exemptions on Manufacturing Property

Manufacturers may claim a Texas sales tax exemption for tangible personal property, directly used or consumed in or during the actual manufacturing, processing, or fabrication of tangible personal property.