Texas has added two new combined tax areas since April:
Fate/Rockwall County Assistance District (effective April 1st 2016)
Cleveland/East Montgomery County Improvement District (effective July 1st 2016)
This brings the total number of combined tax areas in Texas up to 42.
Combined tax areas are “unique areas where a portion of a city overlaps another taxing jurisdiction, resulting in a total local tax rate that would exceed two percent” (http://comptroller.texas.gov/taxinfo/local/combined.html). In these areas a combined area local code is used in place of the regular city code for reporting. The combined area local code indicates a tax rate of 2% or less, insuring that the Texas maximum local tax of 2% is not exceeded in any location.
These combined tax areas are supported by Onesource Indirect Tax Determination.