PROVEN TAX FRAMEWORK
Taxes & Business Incentives in Bastrop County, TX
Bastrop County doesn't just want your business; we structure agreements that make financial sense for your long-term growth — while protecting every existing taxpayer.
Texas has no personal or corporate income tax. Your talent keeps more of what they earn.
vs. Travis & Williamson Counties
Bastrop County property tax rates are consistently lower than its higher-cost neighbors to the west.
Build First, Then Benefit
No blind abatements. Companies pay taxes first, then earn rebates only after verified performance.
Chapter 381
Economic Development Grants
The primary incentive tool for large-scale projects in unincorporated Bastrop County.
Why It's Different
Unlike a traditional abatement, a 381 grant requires the company to build first, pay full taxes, then receive a verified rebate. The county never loses existing revenue.
Chapter 381 of the Texas Local Government Code allows counties to administer economic development programs that create jobs and expand the commercial tax base. Bastrop County has refined this into a highly strategic, performance-based grant system with built-in protections for taxpayers.
How It Works
Built-In Protections
- Strict Clawback Provisions: If a company fails to maintain investment or job commitments, the county can mathematically recover rebated taxes.
- Base Year Guarantee: The county never loses existing tax revenue. Rebates only apply to the new value the corporation creates — not the pre-existing land valuation.
- Scaled Performance: If a company promises $1B but delivers $500M, their rebate is proportionally reduced or nullified.
- Infrastructure Requirements: Developers often must fund road expansions, substations, and water/wastewater upgrades as part of the agreement — infrastructure that benefits the entire county.
The Full Incentive Stack
Bastrop County layers multiple state and local incentive programs to create a competitive package tailored to each project.
Chapter 381 Grants
Performance-based economic development grants for large-scale county projects. Pay taxes first, then receive verified rebates.
Chapter 312 Abatements
Up to 10-year property tax abatements for qualifying commercial and industrial projects, with transparent evaluation and accelerated approval.
Triple Freeport Exemption
Eliminates property taxes on inventory acquired in Texas and shipped out of state within 175 days. Active at county, ISD, and city levels.
Media Production Zone
State sales tax exemption on qualifying purchases for film and media production facilities through the Texas Film Commission's Media Production Development Zone.
Texas TMIIIP (SB 22)
Up to 31% cash grant on Texas spend for film productions. $1.5 billion state commitment through 2035. Cash grants, not transferable tax credits.
Texas CHIPS Act
State-level incentives for semiconductor manufacturing investment, complementing the federal CHIPS and Science Act to attract advanced fab operations.
Property Tax Rate Comparison
How Bastrop County stacks up against neighboring counties in the Austin metro area.
| County | County Rate | No State Income Tax | Triple Freeport | 381/380 Active |
|---|---|---|---|---|
| Bastrop County | ~$0.36 | |||
| Travis County | ~$0.35 | Limited | ||
| Williamson County | ~$0.34 | Active | ||
| Hays County | ~$0.37 | Limited |
*Rates shown are approximate county-only rates per $100 valuation. Total effective rates include ISD, city, and special district levies. Verify current rates with the Bastrop Central Appraisal District.
The Real ROI for Bastrop County
Incentives aren't giveaways. They're investments that shift the tax base from residential homeowners to massive commercial valuations.
Before
Annual property taxes on agricultural land before development
During Agreement
Even with a 60% rebate, the county collects 40% of taxes on billions in new valuation
After Expiration
After the 10-year agreement ends, the county collects full taxes on the asset for decades
The result: New schools funded. Residential tax pressure relieved. Emergency services expanded. Roads improved. All from commercial valuations that didn't exist before the 381 agreements brought them here.
Ready to Structure a Deal?
Every project is different. The Bastrop Economic Development Corporation works directly with site selectors, corporate real estate teams, and project developers to structure custom incentive packages.
Let's build the math that makes Bastrop your best decision.
Sources and Verification
All data on this page is drawn from primary sources: Texas Local Government Code Chapter 381 & Chapter 312 • Texas Tax Code • Bastrop Central Appraisal District • Bastrop Economic Development Corporation • Texas Comptroller of Public Accounts • Texas Film Commission • Community Impact Newspaper.
*Tax rates and incentive structures verified May 2026. Rates are approximate and subject to annual adjustment.