Ways and Means: Franchise Tax Under Scrutiny The meetings of the tax-writing House Ways and Means Committee continue to focus on the franchise tax, in anticipation of some type of limited “reform” package. Chairman Hilderbran is considering different approaches—either a single omnibus franchise tax bill or a set of separate, narrower bills addressing changes in…

February 1, 2013 Revenues, the Budget, and Tax Relief Comptroller Combs may have surprised lawmakers with a somewhat higher revenue estimate than many anticipated. The House and Senate had been working on slightly different budget packages, but both tallied well below the Comptroller’s estimate of available revenues—roughly $5.5 billion, or about 6 percent of discretionary…

School Finance: Tick, Tick, Tick… The school finance trial has recessed until Monday, January 7, 2013, when the state will continue with its witnesses. Thus far, most of the state’s expert witnesses have testified that more revenue does not necessarily result in better performance from students and/or that adequacy of funding cannot be measured accurately….

TTARA Letter to NY Times

Supreme Court Again Upholds Franchise Tax in Nestle II Nestle USA challenged the constitutionality of the franchise tax by alleging that it violates the Texas Constitution’s equal and uniform taxation requirement as well as the U.S. Constitution’s equal protection, due process guarantees and its commerce clause. In a 7-2 opinion by Justice Hecht, the Court…