LEGISLATIVE BUDGET BOARD
                          Austin, Texas

                           FISCAL NOTE
                       74th Regular Session

                        February 22, 1995



 TO:     Honorable Tom Craddick                 IN RE: Committee Substitute
         Committee on Ways & Means              for
         House of Representatives                              House Joint
         Austin, Texas                          Resolution
                                                               No. 20
                                                             









FROM: John Keel, Director

In response to your request for a Fiscal Note on House Joint
Resolution No. 20 (proposing a constitutional amendment to limit
the tax rate on the income and stated capital or asset components
of the franchise tax) this office has determined the following:

No fiscal implication to the State or units of local government
is anticipated, other than the cost of publication.

The cost to the state for publication of the resolution is
$90,000.

The estimate assumes that the tax rate limit imposed by the
resolution would not apply to oil production and natural gas
production taxes.  If the limit were to apply to these taxes,
adoption of the proposed amendment would result in significant
revenue losses to the state. 
    

        




Source:   LBB Staff: JK, DF