Texas House Bill HB894

Texas 2019 - 86th Regular

Caption

Relating to the repeal of the allowance authorized for the administration and enforcement of motor fuel taxes.

Impact

The removal of these allowances means that the Texas government may seek alternative methods for overseeing and enforcing motor fuel taxes. This change could potentially lead to an increase in tax compliance costs for the state due to the need for new systems or processes to manage any residual tax liabilities. Overall, stakeholders have expressed differing opinions on the implications of this bill, with proponents arguing it promotes a more efficient administration of state taxes, while critics may raise concerns about the impact on tax enforcement and revenue collections.

Summary

House Bill 894 proposes the repeal of the allowance authorized for the administration and enforcement of motor fuel taxes in Texas. This significant legislative change aims to streamline the state's tax code by reducing the administrative burden associated with enforcing these specific fuel taxes. The repeal is designed to eliminate outdated provisions in the tax code that may no longer serve their original purpose effectively, allowing for a more efficient tax system within the state.

Contention

One notable point of contention surrounding HB 894 is the timing of the repeal. By stipulating that tax liabilities incurred before the effective date of the law remain unaffected, the bill seeks to reassure taxpayers that their existing obligations will not change. However, some legislators worry that this could lead to confusion among taxpayers and tax collectors alike, complicating the enforcement of fuel tax regulations. Additionally, there are concerns regarding the loss of funding that could arise from the repeal of these allowances, particularly for programs reliant on motor fuel tax revenues.