Honorable Joan Huffman, Chair, Senate Committee on Finance
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HJR132 by Hefner (Proposing a constitutional amendment prohibiting the imposition of an individual net worth or wealth tax.), As Engrossed
No fiscal implication to the State is anticipated, other than the cost of publication.
The cost to the state for publication of the resolution is $204,406.
The joint resolution would amend Article VIII of the Texas Constitution, relating to Taxation and Revenue, by adding Section 25 which would prohibit the imposition of a tax on the wealth or net worth of an individual or family, including a tax on the difference between the assets and liabilities of an individual or family.
The state does not impose any tax on a measure of the wealth or net worth of an individual or family, nor would a reasonable construction of the proposed prohibition invalidate any current state tax or fee; consequently there would be no revenue implications.
The proposed constitutional amendment would be submitted to the voters at an election to be held November 7, 2023.
Local Government Impact
No fiscal implication to units of local government is anticipated.