Texas Franchise Tax Nexus Rule Proposal

The House and Senate passed a Texas Property Tax Reform package on Saturday, May 25th. The bill is not designed to reduce property taxes. It creates a requirement for local taxing jurisdictions to receive voter approval before levying 3.5% more property tax revenue than the previous year. Currently, local government may raise up to 8% more property tax revenue than the previous year without voter approval. Senate Bill 2 is expected to reach Governor Greg Abbott’s desk before lawmakers adjourn today.