Texas Laws 2026 usher in a period of significant legislative transformation for the Lone Star State. Governor Greg Abbott has enacted several new laws that will profoundly reshape various aspects of life and business within Texas, with many taking effect on January 1, 2026. This marks a new era for the state, with key reforms slated for artificial intelligence, tax codes, and the vital oil and gas industry. Understanding these impending Texas laws 2026 is crucial for all residents and businesses.
Landmark AI Regulation Arrives Under Texas Laws 2026
As part of the sweeping Texas Laws 2026, the state is establishing one of the nation’s most comprehensive AI regulation frameworks. House Bill 149, the Texas Responsible Artificial Intelligence Governance Act (TRAIGA), is central to this initiative. This law creates a broad system for AI development and oversight, defining AI broadly and setting crucial rules for transparency and consumer protection. The Texas Artificial Intelligence Council will oversee AI governance, and the state is also introducing a regulatory sandbox program to allow AI innovation testing in a controlled environment, a key component of the new Texas laws 2026.
The TRAIGA prohibits specific AI uses, including manipulation of human behavior and AI designed to incite harm or discrimination. Government entities cannot use AI for social scoring or biometric data without consent. Companies developing or deploying AI in Texas must provide clear disclosures, balancing innovation with consumer safety under the new Texas laws 2026. This AI regulation Texas framework is designed to protect Texas residents and applies broadly to entities doing business in the state.
Tax Code Adjustments for Disaster Recovery Under Texas Laws 2026
New Texas laws 2026 will also alter the tax code significantly. House Bill 30 addresses local government finances post-natural disaster, introducing a “Disaster Debris Rate” to help local governments cover repair costs. However, the law tightens rules on property tax increases, preventing local governments from raising property taxes beyond voter-approved limits without an election. This change, part of the Texas laws 2026, aims to prevent the misuse of disaster declarations for permanent tax hikes. While proponents believe it maintains public trust, critics worry it might slow disaster response. Furthermore, new business tax exemptions aim to support businesses. House Bill 9 exempts business inventory from county, city, and school district taxes, potentially reducing tax burdens. For individuals impacted by severe storms, the IRS has extended tax deadlines; taxpayers in affected counties now have until February 2, 2026, to file and pay taxes, a provision supported by the updated Texas laws 2026.
Oil and Gas Industry Incentives Under Texas Laws 2026
The energy sector will see new incentives as part of the Texas Laws 2026. House Bill 3159 offers severance tax exemptions for inactive oil and gas wells, allowing operators to revive these wells. The exemption applies to production from qualifying restimulation treatments, aiming to encourage the reactivation of older wells and offset the costs of bringing them back online. This provision, a key element of the Texas energy reform, typically lasts up to 36 months and is capped at $750,000 in tax savings, with the Railroad Commission of Texas certifying these wells. This initiative officially begins January 1, 2026, as enacted by the Texas laws 2026.
Streamlining Unemployment Claims with Texas Laws 2026
Texans seeking unemployment benefits will experience changes under the new Texas laws 2026. House Bill 3699 modifies the unemployment compensation system, streamlining the process for filing and processing initial claims. The Texas Workforce Commission (TWC) is updating its systems, and the new Texas Unemployment System (TxUS) will consolidate services, aiming to make tax management easier for employers and enhance fraud detection. A new authentication process will launch with TxUS. These changes directly affect unemployment claims Texas residents file on or after January 1, 2026, as detailed within the Texas laws 2026.
Broader Legislative Changes in Texas Laws 2026
Other significant laws also go into effect with the Texas Laws 2026. Senate Bill 8 requires sheriffs to cooperate with ICE for immigration enforcement in county jails. Senate Bill 38 speeds up eviction processes for squatters, making the process more landlord-friendly. Senate Bill 2206 extends a franchise tax credit for research and development, supporting innovation in Texas.
These new Texas laws 2026 represent a significant legislative push, touching on emerging technologies like AI regulation Texas, economic stability, and public services. Texas is positioning itself for future challenges and opportunities with these 2026 enactments. This is important news for businesses and residents alike, as these developments will be featured and trending across the state. These Texas news updates highlight the state’s dynamic legislative landscape and the comprehensive impact of the Texas laws 2026.
