Post by Logan on Apr 27, 2017 21:52:27 GMT -6
A plan to eliminate the state’s main business tax won initial approval from the Texas House late Thursday, despite arguments from opponents that the move is short-sighted at a time when lawmakers already are struggling to bridge a multibillion-dollar funding gap with deep budget cuts.
The House voted 98-45 to approve House Bill 28, which would phase out the state franchise tax, also called the margins tax, that brings in an estimated $8 billion to state coffers each two-year budget cycle.
The bill, sponsored by state Rep. Dennis Bonnen, R-Angleton, still must be approved on a final procedural vote, but it is expected to be sent to the Senate.
The bill “puts the franchise tax on the correct path, and that is the path of going away,” Bonnen said. “This is the appropriate thing to do to eliminate this bad tax, that was created largely to do property tax relief” that hasn’t been fully realized.
Read more: www.statesman.com/business/texas-house-oks-bill-eliminate-franchise-tax/BVZ5ei4EO2xAT9izEU7laO/
The House voted 98-45 to approve House Bill 28, which would phase out the state franchise tax, also called the margins tax, that brings in an estimated $8 billion to state coffers each two-year budget cycle.
The bill, sponsored by state Rep. Dennis Bonnen, R-Angleton, still must be approved on a final procedural vote, but it is expected to be sent to the Senate.
The bill “puts the franchise tax on the correct path, and that is the path of going away,” Bonnen said. “This is the appropriate thing to do to eliminate this bad tax, that was created largely to do property tax relief” that hasn’t been fully realized.
Read more: www.statesman.com/business/texas-house-oks-bill-eliminate-franchise-tax/BVZ5ei4EO2xAT9izEU7laO/