Texas Public Policy Foundation Calls for a Tax Shift

The Texas Public Policy Foundation recently called for shifting some of their property tax burden to a sales tax.

“Texas’ harsh property tax climate is creating serious financial hardship for homeowners and businesses all across this great State,” said James Quintero of the Texas Public Policy Foundation. “And without reasonable limits on how fast property taxes can grow, the problem only gets worse by the day. Local property tax bills continue to soar past sound economics. From 2000 to 2013, research shows that local property taxes rose by 101 percent, yet population and inflation grew just 70 percent.”

Does that sound like New Hampshire?

“The property tax is an unfair and inefficient way to fund government,” said economist Dr. Art Laffer. “Texas would gain hundreds of thousands of new jobs and tens of billions of dollars in personal income just by abolishing the property tax and replacing it with a revised sales tax.”

Don’t forget that a federal judge has ruled Texas’ school finance system unconstitutional because of the disparities between property-rich and property-poor districts.