The bill amends Section 151.316(a) of the Texas Tax Code to expand the list of items exempt from sales and use taxes to include exotic animals and game animals. Specifically, it adds two new exemptions: (15) exotic animals, as defined by Section 23.51, and (16) game animals, as described by Section 63.001 of the Parks and Wildlife Code. This change aims to provide tax relief for the purchase and sale of these animals, which may be significant for businesses and individuals involved in their breeding, sale, or care.

Additionally, the bill clarifies that the changes in tax exemptions do not retroactively affect tax liabilities that accrued before the bill's effective date. This ensures that any tax obligations incurred under the previous law remain enforceable. The bill is set to take effect immediately upon receiving a two-thirds majority vote from both houses of the legislature, or on September 1, 2025, if such a vote is not achieved.

Statutes affected:
Introduced: Tax Code 151.316 (Tax Code 151)
House Committee Report: Tax Code 151.316 (Tax Code 151)
Engrossed: Tax Code 151.316 (Tax Code 151)