Sales Tax

Percentage Breakdown

Sales tax in the City of Sherman is 8.25%. The city's portion of that is 2% and the portion collected and retained by the State of Texas is 6.25%.
 

City Portion of the Sales Tax Rate

Percent	What that Percentage Goes To
1.000%	Used for general operating purposes
0.375%	Used for the Sherman Economic Development Corporation (SEDCO). the city's 4A economic development corporation approved in May 1996)
0.500%	Used in lieu of property tax (half of this rate began in 1996 and the other half in October 2008)
0.125%	Used for street maintenance (expires March 31, 2020, unless the tax is renewed by voter approval)
2.000%	Total city portion of the tax rate