AG Paxton Commends City of Kermit for Repealing its Unlawful Sales Tax on Plastic Bags

AUSTIN – Attorney General Ken Paxton today announced that the city of Kermit repealed its unlawful sales tax on single-use plastic bags, which was in violation of a Texas statute regulating solid waste disposal. The decision was finalized at last night’s Kermit City Council meeting.

“I commend the Kermit City Council for its action to comply with state law,” Attorney General Paxton said. “Cities and municipalities in Texas are obligated to follow the rule of law, and the Legislature passed a law that clearly prohibits a sales tax on bags.”

Last month, the attorney general’s office gave the city of Kermit a 60 day ultimatum to do away with its unlawful bag ban or face a possible lawsuit. Texas Health and Safety Code 361.0961(a)(3) states that “a local government or other political subdivision may not adopt an ordinance, rule or regulation to assess a fee or deposit on the sale or use of a container or package.”

In light of the city of Kermit’s repeal, there are no more unlawful bag taxes in Texas. Texans who think they are the victim of unlawful bag taxes should notify the Office of the Attorney General by calling the Consumer Complaint Hotline toll free number at (800) 621-0508 or at (512) 463-2185. Texans can also file a complaint online at www.texasattorneygeneral.gov.