A Texas law taking effect September 1, 2025, dramatically lowers the threshold at which coordinated shoplifting becomes a felony—and what that means for your store.
Most Texas retail owners don't realize that a provision buried in SB1300 has already redrawn the line between misdemeanor and felony theft. Starting September 1, 2025, organized retail theft becomes a felony at a much lower dollar amount than it was before—and that shift could change how you report losses and what legal remedies become available to you.
SB1300 elevates every penalty tier for organized retail theft by one full degree under Texas Penal Code Section 31.16(d). In plain terms: the bill moved the goalposts.
Before September 1, 2025, if coordinated thieves stole between $750 and $2,500 from your store, that was a Class A misdemeanor. Starting September 1, that same theft is now a state jail felony. And theft of $2,500 or more, which was previously a state jail felony, is now a third-degree felony.
This matters because felony charges carry steeper penalties, longer sentences, and different prosecution pathways than misdemeanors. A felony conviction also creates a permanent record that affects employment, housing, and other civil consequences for the person charged.
The provision applies specifically to organized retail theft—coordinated theft by multiple people, or by individuals acting as part of a scheme to steal merchandise for resale or profit. It does not apply to single-incident shoplifting by one person.
If your store has been targeted by organized retail theft rings—groups that come in, work together to distract staff or disable security, and leave with high-value merchandise—this law is designed to make prosecution easier and penalties steeper.
The lower felony threshold gives law enforcement and prosecutors more tools to pursue organized theft rings. A loss that previously might have been charged as a misdemeanor can now be charged as a felony, which may result in:
However, the law only applies to offenses committed on or after September 1, 2025. Thefts that occurred before that date are prosecuted under the old penalty structure.
If you've been a victim of organized retail theft, document the details: dates, descriptions of the individuals involved, merchandise stolen, and any video or witness information. When you report to local law enforcement on or after September 1, 2025, make clear that the theft was coordinated—that detail determines whether the new felony threshold applies.
The change is codified in Section 5 of SB1300, which amends Section 31.16(d) of the Texas Penal Code.
For a business-specific summary of SB1300 and other recent Texas retail-crime legislation, contact your local chamber of commerce or retail trade association.