Texas House Bill HB 5132

Texas 2025 - 89th Regular

• Filed: 3/13/25

Caption

Relating to an exclusion for mixed beverage gross receipts tax and mixed beverage sales tax.

Summary

HB 5132 would create a tax exclusion for certain mixed beverage transactions tied to winery permits and brewer’s licenses. Under current law, Texas imposes a 6.7 percent mixed beverage gross receipts tax on receipts from the sale, preparation, or service of mixed beverages, as well as certain ice and nonalcoholic beverages used to make mixed drinks. The bill adds language excluding from that tax the gross receipts from mixed beverages that a permittee is authorized to sell only because it holds a winery permit or brewer’s license. The bill also amends the mixed beverage sales tax provisions to exempt the sale, preparation, or service of a mixed beverage by a permittee when that authority comes only from a winery permit or brewer’s license. In practical terms, the measure would remove these specific winery- and brewery-related mixed beverage transactions from both the gross receipts tax and the sales tax regime, beginning October 1, 2025. The bill states that it does not affect tax liabilities that accrued before the effective date. The bill’s impact would be to narrow the scope of Texas’s mixed beverage taxation for certain alcohol producers and sellers, likely benefiting wineries and breweries that offer mixed beverages under their permits. It would amend Chapter 183 of the Tax Code and change how the Comptroller administers and collects these taxes for the affected transactions, while leaving prior liabilities and enforcement intact. There is little recorded public debate in the provided materials, and no committee transcript or vote history is included, so the overall sentiment cannot be measured from discussion. Based on the bill text alone, the measure appears targeted and technical rather than broadly controversial, with the main policy choice being whether winery and brewery permit holders should receive a tax exclusion for mixed beverage activity tied to their permits. The main point of contention, if any, would likely be the tax treatment of alcohol-related businesses: supporters may view the exclusion as a fairness or industry-support measure for wineries and breweries, while opponents could see it as a narrowing of the tax base or a special tax preference. No specific objections or amendments are reflected in the available record.

Impact

HB 5132 would amend Sections 183.021 and 183.041 of the Texas Tax Code to exclude certain mixed beverage gross receipts and mixed beverage sales from taxation when the permittee is authorized to operate only through a winery permit or brewer’s license. The bill would reduce tax liability for affected wineries and breweries, while preserving pre-existing liabilities and enforcement authority for taxes accrued before the October 1, 2025 effective date.

Sentiment

The available record shows no committee transcript, recorded vote, or other discussion, so there is no documented public sentiment to summarize from the provided materials. From the bill text itself, the measure appears to be a narrow, technical tax change aimed at a specific set of alcohol permit holders, suggesting a likely industry-focused policy rather than a broadly partisan or highly contentious proposal.

Contention

The likely point of contention is whether mixed beverage transactions by winery and brewer permit holders should be exempt from the gross receipts tax and sales tax. Supporters would likely argue the exclusion aligns tax treatment with the limited authority of those permits and helps Texas wineries and breweries, while critics could argue it creates a special tax carve-out and reduces state revenue. No specific opposition, amendments, or negotiated compromises are shown in the provided history.