Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation by one or more political subdivisions of this state a person's inventory held for sale at retail.
Impact
If enacted, this amendment would specifically affect local and state laws regarding property taxation. By exempting retail inventory from ad valorem taxation, businesses would likely experience reduced tax obligations, which could improve their profit margins and operational flexibility. This change is aimed at supporting local businesses and encouraging economic growth by making it easier for them to compete in the marketplace without the additional weight of property taxes on their unsold inventory.
Summary
HJR35 is a joint resolution proposing a constitutional amendment that grants the Texas legislature the authority to exempt from ad valorem taxation a person's inventory held for sale at retail. The resolution aims to amend Article VIII of the Texas Constitution, specifically adding Section 1-p, which allows for this tax exemption under state law. The intent behind this legislation is to alleviate the tax burden on retailers, potentially fostering a more favorable business environment in Texas.
Contention
Notably, the bill may face contention from those concerned about the potential loss of revenue for local governments, which typically rely on property taxes to fund essential services. Critics might argue that such exemptions could lead to budget shortfalls affecting public services and infrastructure. Supporters, however, are likely to counter that the economic growth and job creation spurred by this amendment will ultimately benefit localities through increased overall economic activity.
Proposing a constitutional amendment to authorize the legislature to exempt from ad valorem taxation a percentage of the market value of the tangible personal property a person owns that consists of inventory held for sale at retail.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation tangible personal property consisting of animal feed held by the owner of the property for sale at retail.
Proposing a constitutional amendment authorizing the legislature to increase the amount of the exemption from ad valorem taxation by a school district of the market value of the residence homestead of a person who is elderly or disabled.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation income-producing tangible personal property having a value of less than a certain amount.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation income-producing tangible personal property having a value of less than a certain amount.
Proposing a constitutional amendment authorizing the legislature to provide for an exemption from ad valorem taxation by a political subdivision located wholly or partly in a populous county of a specified dollar amount, or a greater dollar amount specified by the governing body of the political subdivision, of the assessed value of a residence homestead.