The Katy, Texas sales tax rate is 8.25% on taxable retail purchases made inside the city limits.1Texas Comptroller of Public Accounts. Texas Sales and Use Tax Rates – April 2026 That rate is the statewide maximum, and it applies the same way whether the store sits in Harris, Fort Bend, or Waller County. A long list of everyday items is fully exempt, and Texas suspends the tax entirely on certain goods during four weekends each year.
Where the 8.25% Comes From
Texas charges a base state sales and use tax of 6.25% on most retail purchases.2State of Texas. Texas Tax Code TAX 151.051 – Sales Tax Imposed Local jurisdictions can add up to another 2% on top, which caps the total anywhere in Texas at 8.25%.3State of Texas. Texas Tax Code TAX 321.101 Katy hits that ceiling.
The 2% local portion comes from two sources. The City of Katy imposes 1% for municipal operations, economic development, and property tax relief. The Houston Metropolitan Transit Authority adds the other 1% to fund regional transit.1Texas Comptroller of Public Accounts. Texas Sales and Use Tax Rates – April 2026
Three Counties, Same Rate
Katy’s city limits reach into Harris, Fort Bend, and Waller counties. The Comptroller assigns Katy a single local code (2101053) and the same 8.25% total across all three.1Texas Comptroller of Public Accounts. Texas Sales and Use Tax Rates – April 2026 You don’t need to think about which county a store sits in.
A Katy mailing address is not the same thing as being inside the city, though. Many neighborhoods with “Katy, TX” in the ZIP code are actually in unincorporated Fort Bend or Waller County, where a different mix of county, special purpose district, and transit taxes applies. The total in those areas can be lower or match Katy’s. If you run a business and need to know the exact rate for a specific address, the Comptroller offers an address lookup tool.4Texas Comptroller of Public Accounts. City Sales and Use Tax
What’s Exempt at the Register
Groceries vs. Prepared Food
Most grocery staples carry no sales tax in Texas. Bread, milk, eggs, meat, produce, cereal, cheese, rice, and shelf-stable snacks like chips and granola bars are all exempt, and so are bakery items sold for off-premises eating.5State of Texas. Texas Tax Code TAX 151.314 – Food and Food Products
A few items at the grocery store do get taxed at the full 8.25%. Carbonated soft drinks, candy, and plain ice are all excluded from the food exemption. Fruit juice stays exempt as long as it’s more than 50% juice.5State of Texas. Texas Tax Code TAX 151.314 – Food and Food Products
Prepared food is fully taxable. Anything sold hot, heated by the seller, or served ready to eat at a deli, restaurant, or cafeteria counter carries the tax.6Texas Comptroller of Public Accounts. Grocery and Convenience Stores A rotisserie chicken from the hot case is taxed; a raw chicken from the meat counter is not.
Medicine and Medical Devices
Prescription drugs and insulin are always exempt, for people or animals. Over-the-counter medications are exempt too, as long as the product carries the FDA-required “Drug Facts” panel. That covers most pain relievers, cold and allergy medicine, and similar pharmacy-aisle items.7State of Texas. Texas Tax Code TAX 151.313 – Health Care Supplies
Medical devices are also tax-free: hypodermic needles and syringes, orthopedic devices, hearing aids, prosthetics, corrective lenses, hospital beds, and blood glucose test strips. Replacement parts for these devices qualify too.7State of Texas. Texas Tax Code TAX 151.313 – Health Care Supplies Dietary supplements are exempt only when prescribed by a licensed practitioner.
Family and Menstrual Care
Since September 2023, Texas has exempted a broader set of family care products year-round. Children’s and adult diapers, baby wipes, tampons, pads and other feminine hygiene products, breast pumps and accessories, maternity clothing, and nursing bras all qualify.7State of Texas. Texas Tax Code TAX 151.313 – Health Care Supplies
Cars Work Differently
Buying a vehicle in Katy does not use the 8.25% rate. Texas charges a flat 6.25% motor vehicle sales tax with no local add-on, and it applies whether you buy from a dealer or a private seller.8Texas Comptroller of Public Accounts. Motor Vehicle Sales Tax The county tax assessor-collector’s office collects it when you title and register the vehicle, not the dealer at the point of sale. A transfer without payment that doesn’t qualify as a bona fide gift still triggers the tax.
Online and Out-of-State Purchases
If you buy something from an online or out-of-state seller who doesn’t charge Texas tax, you owe use tax at the same combined 8.25% rate.9Texas Comptroller of Public Accounts. Use Tax Most large online retailers and marketplaces now collect Texas tax automatically, so the gap mainly shows up with smaller sellers or in-person purchases made out of state. If nobody collected tax at checkout on a bigger-ticket item like furniture or equipment, the obligation is yours to report and pay.
Tax-Free Weekends in Katy
Texas runs four annual sales tax holidays. All four apply at the 8.25% rate in Katy, which makes the savings on larger purchases meaningful.
Emergency Preparation Supplies: April 25–27, 2026
This holiday is built around storm season. Portable generators under $3,000 qualify. Hurricane shutters and emergency ladders under $300 qualify. A long list of supplies under $75 also qualifies, including batteries, fire extinguishers, first aid kits, flashlights, weather radios, smoke and carbon monoxide detectors, coolers, tarps, and fuel containers.10Texas Comptroller of Public Accounts. Emergency Preparation Supplies Sales Tax Holiday Katy sits in a hurricane-prone region, so this is the one worth planning deliberately.
Energy Star Appliances: May 23–25, 2026
Over Memorial Day weekend, qualifying Energy Star appliances can be bought, rented, or leased tax-free. The list includes air conditioners priced at $6,000 or less, refrigerators at $2,000 or less, ceiling fans, light bulbs, clothes washers, dishwashers, and dehumidifiers.11Texas Comptroller of Public Accounts. ENERGY STAR Sales Tax Holiday The item has to carry the Energy Star label.
Water-Efficient Products: May 23–25, 2026
The same weekend covers WaterSense-labeled products and water-conserving residential supplies: soaker and drip-irrigation hoses, moisture controls for sprinkler systems, mulch, rain barrels, plants, trees, and soil amendments.12Texas Comptroller of Public Accounts. Water-Efficient Products Sales Tax Holiday Sprinklers, air conditioners, and general building materials do not qualify under this holiday.
Back-to-School: August 7–9, 2026
Clothing, footwear, school supplies, and backpacks priced under $100 per item are tax-free.13Texas Comptroller of Public Accounts. Sales Tax Holiday The threshold applies per item, not per receipt. A cart of ten $90 items all qualify. One $120 jacket is taxed in full, with no partial exemption for the first $100.