The story below refers critically to tax reforms in Texas' which happened in 2006.
However, as many acknowledge, Texas has a structural deficit created by insufficiencies in the margins tax that was part of the state's 2006 tax reform. Some lawmakers, most notably Sen. Steve Ogden, R-Bryan, the Finance Committee chairman, wanted to fix the margins tax now. But their pleas fell on deaf ears.
So we can prep for future discussions of the Texas budget, here's background on the reform measures and the assessment of its impact on the current fiscal state of Texas. It continues to be a controversial change in the state's tax policy.
- Archive: Texas Tax Reform Commission.
- Wikipedia: Texas Tax Reform Commission.
- Texas Tax Reform Commission Releases Tax Plan.
- Letter from Comptroller to Perry.
- Governor's Office: Property Tax Relief and Appraisal Reform.
- WSJ: Perry's Tax Plan Runs Unto Criticism.
- Tax Foundation: Texas Margin Tax Experiment Failing.
- Understanding the Texas Franchise — or “Margin”—Tax
