Proposition B: General Revenue Sales Tax

Currently, a combined 8.25% sales tax rate is imposed on all retail sales, leases, and rentals of most goods in Leander. The rate charged by the state of Texas is 6.25%, while Leander and Capital Metro each receive revenue from a 1% sales tax.

Please note: Certain properties subject to sales and use taxes within Leander city limits are also located within the Liberty Hill Public Library District, a special purpose district spanning Liberty Hill Independent School District boundaries, which receives revenue from a 0.25% sales tax. Among properties in this district, Leander receives revenue from a 0.75% sales tax and Capital Metro receives revenue from a 1% sales tax.

Atención

Para obtener información electoral en español, contacte el Secretario de la Ciudad al 512-528-2743.

A special election will be held on May 7, 2022, for the purpose of submitting to the qualified voters of Leander, Texas, the question of the City of Leander's general revenue sales and use tax rate.

The official ballot shall be prepared in accordance with the Texas Election Code so as to permit a "Yes" or "No" vote on the proposition expressed in the following:

City of Leander Proposition B
General Revenue Sales Tax
Conditional Upon a Majority "No" Vote on Proposition A

The adoption of a local sales and use tax in the City of Leander at the rate of two percent (2%).

[ ] YES [ ] NO

If the election result is a majority "Yes" vote on Proposition B and "No" vote on Proposition A, the general revenue sales and use tax rate would change from 1% to 2% in the City of Leander (see note one). However, sales and use tax revenue would not be collected at the 2% rate until after the city's net financial obligation to Capital Metro is collected (see note two). As of December 31, 2021, this is estimated to be $42.3 million.

If the election result is a majority "No" vote on Proposition B and a "No" vote on Proposition A, the general revenue sales and use tax rate in the City of Leander would remain at 1%. However, Capital Metro would continue to be funded in part by a 1% sales tax until the city's net financial obligation to Capital Metro is collected (see note two). As of December 31, 2021, this is estimated to be $42.3 million.

If the election result is a majority "Yes" vote on Proposition A, regardless of the majority vote on Proposition B, the general revenue sales and use tax rate in the City of Leander would remain at 1%, and Capital Metro would continue to be funded in part by a 1% sales tax.

  • Note One: See Texas Tax Code Section: 321.405.
  • Note Two: See Texas Transportation Code Section: 451.613.