Bonds are exempt from any tax by the state and by cities, towns, villages, counties, school districts, and other political subdivisions and public agencies of the state.
Tex. Nat. Res. Code § 161.129
TAXATION OF BONDS
Acts 1977, 65th Leg., p. 2661, ch. 871, art
Official source: Texas Constitution and Statutes. Reproduced from public-domain Texas statutes; confirm against the official source for the current text. Not legal advice.