SRC-JGS S.J.R. 8 78(4)   BILL ANALYSIS


Senate Research Center   S.J.R. 8
78S41492 DAK-DBy: Duncan
Finance
5/10/2004
As Filed


DIGEST AND PURPOSE 

S.J.R. 8 proposes a constitutional amendment authorizing a business tax on
the income of individuals who benefit from personal liability limitations,
and dedicating the revenue from the tax to fund public education. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Article VIII, Texas Constitution, by adding Section 25,
as follows: 

Sec. 25. (a) Authorizes the legislature to impose a business tax on an
entity doing business in this state for:  (1) the privilege of doing
business in this state; and (2) the benefit of limitations on the personal
liability of individuals who are owners, partners, shareholders, officers,
or directors of the entity. 

(b)  Requires all net revenue remaining after payment of all refunds and
expenses of collection from the tax to be used only for the support of
public education. 

(c)  Provides that Section 24 (Personal Income Tax;  Dedication of
Proceeds) of this article does not apply to a tax imposed under this
section. 

SECTION 2.  Requires this proposed constitutional amendment to be
submitted to the voters at an election to be held November 2, 2004.
Requires the ballot to be printed to permit voting for or against a stated
proposition.