Proposing a constitutional amendment to require a two-thirds vote of the legislature to enact and submit to the voters a law imposing an income tax or increasing that tax.
The impact of HJR78, if passed, would significantly affect the state's revenue generation mechanisms. By mandating a two-thirds legislative vote and a statewide referendum, it could prevent the implementation of an income tax without overwhelming legislative and public support. This measure is aimed at preserving Texas' tax structure, which currently relies more heavily on property and sales taxes rather than income taxes. Should this amendment be enacted, it would further entrench the state's no-income-tax policy.
HJR78 proposes a constitutional amendment in Texas that would require a two-thirds majority vote in the legislature to enact and submit to voters any law imposing or increasing an income tax. This measure seeks to amend Section 24 of Article VIII of the Texas Constitution, reinforcing the requirement for substantial legislative consensus and public approval before any new taxes can be implemented. The bill aims to challenge any future efforts to impose income taxes, which have historically been a contentious topic in Texas governance.
The debate surrounding HJR78 raises notable points of contention among lawmakers and stakeholders. Supporters argue that the amendment would protect taxpayers from sudden tax increases and maintain a favorable business environment. They highlight the importance of requiring broad agreement, given the potential economic implications of introducing an income tax. Conversely, opponents may argue that such stringent requirements could inhibit necessary fiscal reforms and exacerbate funding challenges for state services, especially in times of economic downturn. Discussions may also delve into the adequacy and fairness of Texas' current taxation system in funding public education and infrastructure.