Texas 2021 - 87th Regular

Texas House Bill HJR140

Caption

Proposing a constitutional amendment prohibiting the enactment of a law that imposes a tax on certain transactions that either convey a security or involve specified derivative contracts.

Impact

Passing HJR140 would have significant implications for Texas law regarding the taxation of financial securities. The amendment specifically prohibits local or state authorities from imposing any taxes on the activities of registered securities market operators, thereby ensuring that these entities can operate without the financial burden of additional taxes on their transactions. This would align Texas with other states that have adopted similar measures, potentially attracting more financial firms and enhancing the state's overall economic growth.

Summary

HJR140 is a proposed constitutional amendment aimed at preventing the enactment of laws that would impose taxes on transactions involving securities or specified derivative contracts. This amendment seeks to protect registered securities market operators, including financial institutions and exchanges, from any occupation taxes or taxes on their transactions that could be levied after January 1, 2022. By doing so, the bill aims to strengthen Texas's position in the financial markets and create a favorable environment for trading and investment activities within the state.

Sentiment

The general sentiment surrounding HJR140 has been largely positive among legislators and stakeholders in the financial sector. Supporters argue that the bill will foster economic development and position Texas as a competitive hub for financial activities. However, there are concerns expressed by some members of the opposition that the amendment could create imbalances in tax revenues, especially if it leads to a significant influx of financial transactions that are untaxed at the state level.

Contention

There have been notable points of contention regarding HJR140, particularly concerning the implications for state tax revenues. Opponents of the amendment fear that exempting certain financial transactions from taxation could lead to a shortfall in government funding, as municipalities might lose a potential revenue stream. Furthermore, there are worries about the regulatory implications of such a tax exemption and whether it could result in less financial oversight in the state.

Companion Bills

TX SJR67

Same As Proposing a constitutional amendment prohibiting the enactment of a law that imposes a tax on certain transactions that either convey a security or involve specified derivative contracts.

TX HB3702

Enabled by Relating to prohibiting the enactment of a law that imposes a tax on certain transactions that either convey a security or involve specified derivative contracts.

Previously Filed As

TX SJR24

Proposing a constitutional amendment prohibiting the enactment of a law imposing an occupation tax on certain entities that enter into transactions conveying securities or imposing a tax on certain securities transactions.

TX SB266

Relating to a prohibition on the enactment of a law imposing an occupation tax on certain entities that enter into transactions conveying securities or imposing a tax on certain securities transactions.

TX HJR132

Proposing a constitutional amendment prohibiting the imposition of an individual net worth or wealth tax.

TX SJR91

Proposing a constitutional amendment prohibiting the imposition of an individual net worth or wealth tax.

TX HJR29

Proposing a constitutional amendment providing that a residence homestead is not subject to seizure or sale for delinquent ad valorem taxes.

TX HJR124

Proposing a constitutional amendment to remove the requirement that a home equity loan be closed only at the office of the lender, an attorney at law, or a title company.

TX HB5011

Relating to amendments to the Uniform Commercial Code, including amendments concerning certain intangible assets and the perfection of security interests in those assets.

TX SB2075

Relating to amendments to the Uniform Commercial Code, including amendments concerning certain intangible assets and the perfection of security interests in those assets.

TX SB2484

Relating to prohibiting contracts or other agreements involving the receipt of certain tax incentives by certain foreign-owned companies.

TX HJR20

Proposing a constitutional amendment authorizing the legislature to provide for exceptions to the requirement that a home equity loan be closed only at the office of the lender, an attorney at law, or a title company.

Similar Bills

No similar bills found.