An Amendment To The Arkansas Constitution Providing That The General Assembly May Enact Laws Exempting Property From Taxation.
Impact
If enacted, HJR1012 would significantly alter the existing landscape of property taxation in Arkansas. By allowing the General Assembly to create exemptions beyond what is specifically detailed in the Constitution, this amendment could lead to increased flexibility in taxation policies. It could benefit certain property owners or sectors deemed beneficial for economic development, but also raise concerns regarding equitable taxation and local government funding.
Summary
HJR1012 is a proposed amendment to the Arkansas Constitution that seeks to grant the General Assembly the authority to enact laws that exempt property from taxation. Currently, the Arkansas Constitution has restrictions on property tax exemptions, and this amendment aims to modify those rules to allow for broader exemptions. The proposed change is scheduled for potential approval in the next general election, hinging on the approval by a majority of the electors.
Contention
There are likely to be points of contention regarding HJR1012, particularly concerning the balance of power between state and local government authorities. Critics may argue that this amendment undermines local control over taxation policies, which could lead to disparities in how property taxes are applied across different municipalities. Proponents, however, might advocate for the necessity of having a streamlined process for exempting properties that could foster economic growth, arguing that it provides the legislature with necessary tools for adjustment in economic policy without being hampered by constitutional constraints.