P.O. Box 12068, State Capitol
Austin, Texas 78711
Tel. (512) 463-0112
FOR IMMEDIATE RELEASE
March 25, 2015
AUSTIN – The Texas Senate today passed SB 1, SJR 1 and SB 7 by Texas State Senator Jane Nelson, R-Flower Mound, to provide approximately $4 billion in tax relief to Texas homeowners and businesses.
"This money doesn't belong to the government. It belongs to the taxpayers, and we need to remember that as we continue working on a budget that meets our needs and gives the rest back to the people who earned it," Senator Nelson said. "For our state to continue to thrive, we need to meet our needs and invest in a strong economy."
SB 1 provides for more than $2 billion in property tax relief by setting the homestead exemption to 25 percent of the state's home median market value. SJR 1 would place the homestead exemption before voters as a constitutional amendment on the September ballot, allowing tax relief to reach property owners for their 2015 property tax bills. SJR 1 also would constitutionally prohibit the establishment of any tax on real estate sales.
SB 7 provides about $1.8 billion in business tax relief by reducing the business franchise tax rate, also known as the margins tax, by 15 percent. It would also increase the availability of the E-Z tax calculation to businesses with revenue of $20 million or less, decrease the E-Z tax rate and directs the Comptroller's office to provide the Legislature with a report on how the franchise tax could be eliminated completely.