Trump Accounts in Texas: State Tax Treatment
By Forrest Baumhover, CFP®, EA · Last verified September 2, 2026
Whether Texas taxes a Trump Account's growth and distributions the way the IRS does — checked against Texas's own conformity law, not a national summary.
Does Texas follow the federal rule?
Texas does not impose a personal income tax on wages, salaries, or individual investment income. Because there is no state income tax base to begin with, the federal treatment of a Trump Account under IRC §530A — tax-deferred growth, ordinary income tax on distributions after age 18 — has nothing to conform to or diverge from at the state level for an individual beneficiary living in Texas.
What this means for a Trump Account in Texas
A family funding a Trump Account for a child in Texas follows the federal rules described on the Trump Accounts hub with no separate state income tax question to answer.
A note on this determination
A 2019 constitutional amendment bars the legislature from ever imposing an individual net income tax. No income tax exists, so conformity is moot.
Back to the full picture
See the Trump Accounts hub for the federal contribution and distribution rules this state-tax determination builds on, and the state-by-state conformity library for how Texas compares to other states.