Relating to a temporary exemption from sales and use taxes for certain residential heating, ventilation, and air conditioning systems and installation services.

SB 214 creates a temporary tax exemption for sales and installation of qualifying residential heating, ventilation, and air conditioning (HVAC) systems in Texas. Homeowners purchasing new systems with a minimum 14 SEER rating that are Energy Star certified and installed by licensed contractors for their primary single-family residence can avoid sales and use taxes. The exemption applies to purchases made between March 1, 2026, and September 1, 2027, requiring purchasers to provide a certification form at the time of sale. The exemption expires December 31, 2027, and does not apply to rental properties, commercial use, or systems installed in structures less than one year old.