Taxes

Retail: Neither the State of Texas nor the City of Odessa has a personal income tax. However, the state does assess a 6.25 percent sales tax, the City of Odessa assesses a one percent sales tax, the Ector County Hospital District assesses a .75 percent sales tax, and .25 percent is dedicated toward an economic development sales tax. The result is a total 8.25 percent retail sales tax.

Ad Valorem Property: Property taxes are paid to the city, county, local school district, hospital district and junior college district.

Franchise: While Texas does not have a corporate income tax, the corporate franchise tax has a component based on earned surplus (essentially, federal net taxable income, plus compensation paid to corporate officers and directors if the corporation has more than 35 shareholders).