AUSTIN – The Texas Senate and House are approaching formal agreement on a tax plan that includes a $10,000 increase in the school property tax homestead exemption and a 25 percent franchise tax rate reduction for businesses.

While it’s good to see that political leaders have reached consensus, the majority of Texans will see little benefit. Even if oil prices rebound, lawmakers who come back to the Capitol in 2017 will find almost $4 billion less to work with – and that’s before taking into account the pending school funding lawsuit.

“Giant tax cuts do nothing to ensure we have the infrastructure Texas needs to thrive,” said CPPP Executive Director Ann Beeson. “When you hear ‘tax cuts,’ remember that what we’re really talking about is cutting support for the public services – good public schools, affordable health care, community colleges - that build a more prosperous Texas for all of us.”

For more information visit the CPPP Blog or contact Oliver Bernstein 512.289.8618.