The bill, H.B. No. 920, proposes an amendment to Section 151.3131 of the Texas Tax Code, focusing on the exemption from sales and use taxes for firearms, ammunition, and related items. The amendment replaces the term "FIREARM SAFETY EQUIPMENT" with "FIREARMS AND RELATED ITEMS" and introduces definitions for "Ammunition," "Firearm," and "Firearm accessory" based on federal law. Additionally, it clarifies that the sale, storage, use, or other consumption of firearms, firearm accessories, ammunition, or firearm safety equipment will be exempt from the taxes imposed by the chapter.

The bill specifies that the changes will not affect any tax liabilities that accrued before the effective date of the Act, which is set for September 1, 2025. This means that any tax obligations incurred prior to this date will remain enforceable under the previous law. Overall, the bill aims to provide a clearer framework for the tax exemption related to firearms and associated items in Texas.

Statutes affected:
Introduced: Tax Code 151.3131 (Tax Code 151)