Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
DAWSON CHARLES E
  2. Issuer Name and Ticker or Trading Symbol
SOUTHSIDE BANCSHARES INC [SBSI]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
__X__ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Director, President & Secy.
(Last)
(First)
(Middle)
SOUTHSIDE BANCSHARES INC, 1201 SOUTH BECKHAM
3. Date of Earliest Transaction (Month/Day/Year)
12/21/2005
(Street)

TYLER, TX 75701
4. If Amendment, Date Original Filed(Month/Day/Year)
6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)
7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 12/21/2005   G   350 D (1) 24,643 D  
Common Stock 09/16/2005   J(2)   11.48 A $ 19.29 2,024.4 I by Spouse
Common Stock               11,155.42 I SSB Tr/self Emp S/P
Common Stock               7,590.56 I by ESOP

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)
6. Date Exercisable and Expiration Date
(Month/Day/Year)
7. Title and Amount of Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)
10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)
11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Incentive Stock Option (right to buy) $ 4.61               (3) 02/07/2006 Common Stock 21,384   21,384 D  
Incentive Stock Option (right to buy) $ 5.71               (4) 06/05/2007 Common Stock 18,620   18,620 D  
Incentive Stock Option (right to buy) $ 5.79               (5) 08/31/2010 Common Stock 29,758   29,758 D  
Incentive Stock Option (right to buy) $ 6.27               (6) 06/10/2009 Common Stock 20,764   20,764 D  
Incentive Stock Option (right to buy) $ 6.49               (7) 10/15/2008 Common Stock 3,943   3,943 D  
Non-Qualified Stock Option (right to buy) $ 5.79               (8) 08/31/2010 Common Stock 3,748   3,748 D  
Non-Qualified Stock Option (right to buy) $ 6.27               (9) 06/10/2009 Common Stock 346   346 D  

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
DAWSON CHARLES E
SOUTHSIDE BANCSHARES INC
1201 SOUTH BECKHAM
TYLER, TX 75701
  X     Director, President & Secy.  

Signatures

 Charles E. (Sam) Dawson   12/22/2005
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Bloomberg VWAP closed at $20.5600 per share the date of this gift, 12-21-05.
(2) Shares acquired pursuant to Southside Bancshares, Inc. Dividend Reinvestment Plan.
(3) Vested 20% per year and became fully exercisable 02/07/2001.
(4) Vested 20% per year and became fully exercisable 06/05/2002.
(5) Vested 20% per year and became fully exercisable 08/31/2005.
(6) Options vest 20% per year and currently 80% are fully exercisable.
(7) Vested 20% per year and became fully exercisable 10/15/2003.
(8) Non-Qualified Incentive Stock Option became fully exercisable 08/31/01.
(9) Non-qualified Incentive Stock Option became fully exercisable 06/10/2000.

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