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Tax System Pros And Cons

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Texans went to the polls on Tuesday, November 3 to cast their ballots on a range of constitutional provisions. The results were XXX. YYYY

Proposition 1 (XXXX – yyy%-zzz%)

Current law provides an exemption of $15,000 of a residence homestead from property taxation for public school purposes. Basically, the proposed amendment would increase this exemption to $25,000. School districts would be held harmless from all or part of the revenue loss with additional legislative funding. The amendment also would constitutionally prohibit a sales tax being imposed on the sale of your home or business property.

Supporters suggested cutting property taxes by increasing the homestead exemption would stimulate economic growth and provide tax relief, as well as increase the state share of public school funding. Moreover, homestead exemptions particularly benefit low-income individuals, by exempting a higher percentage of the value of a less expensive house. Opponents argued that many taxpayers will see only marginal reductions in their property taxes – as little as $126 annually, according to some estimates.

Proposition 2 (XXXX – yyy%-zzz%)

In 2011, voters approved a constitutional amendment to allow a surviving spouse of a disabled veteran an exemption from property taxation on the disabled veteran’s residence homestead, as long as the …show more content…
They felt this amendment would offer meaningful tax relief for families of deceased disabled veterans, and the fiscal impact on a single taxing district would be minimal. However, analysis indicated that school districts, municipalities, counties, and other taxing districts such as hospitals would lose some tax revenue under the amendment, meaning local governments might be required to increase taxes for other

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