AUSTIN – Later today, the Texas House and Senate are expected to pass House Bill 500, a bill that offers significant business tax relief and makes permanent the $1 million small business tax exemption.
“The reforms contained in HB 500 will go far to improve Texas’ business tax climate and job creation, and we hope the Legislature sees fit to pass it,” said Chuck DeVore, Vice President for Policy at the Texas Public Policy Foundation, “Businesses shoulder almost two-thirds of our state and local tax burden. For Texas to remain America’s jobs engine, it is critical that the onerous margin tax – the state’s primary business tax – be reformed to address its many shortcomings.”
DeVore continued, “Though the Texas Public Policy Foundation would have preferred a complete repeal of the margin tax, the tax relief provided in HB 500 is certainly a positive. Businesses throughout the state will see their taxes go down, and the state’s $1 million small-business tax exemption will be made permanent, freeing small businesses and entrepreneurs to focus on growing their businesses and creating jobs – instead of complying with a burdensome Tax Code.”
The Honorable Chuck DeVore is the Vice President for Policy at the Texas Public Policy Foundation. He served six years in the California Assembly and is the author of “The Texas Model: Prosperity in the Lone Star State and Lessons for America.”
The Texas Public Policy Foundation is a non-profit, free-market research institute based in Austin.