BRANDON CREIGHTON

Texas State Senator

District 4
CONTACT: Eliza Vielma
Eliza.Vielma@senate.state.tx.us

FOR IMMEDIATE RELEASE

Friday, May 22, 2015

Fireworks Double Taxation Repealed

Senate Bill 761 will save Taxpayers over $1.5 million
AUSTIN Senate Bill 761, authored by Senator Brandon Creighton (R-Conroe) and sponsored by
Representative Jim Murphy (R-Houston), passed the Texas House and is on its way to the governor's
desk. This bill repeals the additional two percent tax on almost 1,500 businesses that sell fireworks in the
state of Texas.
"I am excited that Representative Murphy were able to successfully provide a tax repeal for small
businesses across the state," said Senator Creighton. "By eliminating the Fireworks Tax, we are both
reducing the tax burden placed on the shoulders of fireworks vendors and making our tax collection more
efficient."
"I am pleased to work with Senator Creighton to help eliminate this unnecessary tax," added
Representative Murphy.
Currently, there is an additional two percent tax on the sale of fireworks dedicated for the purpose of
funding the Rural Volunteer Fire Department Insurance Fund. In order to protect the RVFDIF while
cutting taxes for small business owners, Senate Bill 761 redirects a portion of the regular sales tax on
fireworks to account for the void.
The two percent Fireworks Tax was enacted in 2001 as an addition to state and local sales and use taxes
imposed on fireworks. In 2014, the tax generated $1,698,000 paid by 1,343 active taxpayers.
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SENATOR BRANDON CREIGHTON represents District 4, which encompasses Chambers, Jefferson and
parts of Montgomery, Harris, and Galveston Counties. He currently serves on the Senate Committee on
Agriculture, Water and Rural Affairs, the Senate Committee on Criminal Justice, the Senate Committee
on State Affairs, and as the Vice-Chairman of the Senate Committee on Business and Commerce.