Texas House Bill HB2460

Texas 2019 - 86th Regular

Caption

Relating to providing a sales and use tax refund or franchise tax credit for businesses that employ former offenders.

Impact

The bill amends Chapter 151 of the Tax Code to add provisions allowing eligible employers to receive refunds based on the taxes they paid during the year, contingent upon their hiring practices regarding former offenders. Specifically, the refund can be as high as $3,000 per former offender employed. Such financial incentives may encourage more businesses to hire these individuals, potentially reducing recidivism rates and benefiting the community by creating a more inclusive workforce.

Summary

House Bill 2460 proposes a sales and use tax refund as well as a franchise tax credit for businesses that hire former offenders. This initiative is designed to incentivize employers to provide job opportunities to individuals who have been incarcerated, with the ultimate goal of facilitating their reintegration into society. The measures specifically apply to businesses that employ at least one former offender in full-time positions for the entire calendar year, emphasizing the need for stable employment as a key component of successful rehabilitation.

Contention

While supporters argue that the bill could significantly enhance employment prospects for former offenders, critics may raise concerns about the potential for abuse of the tax credits or refunds, as well as doubts on the effectiveness of such financial incentives in changing hiring practices. Additionally, there may be discussions on whether prioritizing tax benefits for hiring former offenders might detract from hiring practices for other vulnerable groups in the job market. Overall, there is a balance to be struck between promoting second chances for former offenders and ensuring equitable employment opportunities across the board.