By a vote, House approves tax change for schools (Texas Tax Alert)

Capping more than nine hours of politically supercharged debate at the Capitol, the dramatic 73-72 vote approved a scaled-down version of tax shifts House members had passed earlier this year. House members approved it with hopes of doing in the next couple of weeks what they couldn't during the spring session: Finding common ground with the Senate to overhaul the way the state pays for its schools.

Perry Beat Back the Pay Roll Tax (backdoor state income tax) in the House.

""Perry won a victory in the House on Wednesday when lawmakers rebuffed a proposal to give businesses the choice of paying a payroll tax or the corporate franchise tax.

Perry has urged lawmakers to modify the franchise tax to make about 10,000 more companies pay it by including corporations that now establish partnerships to avoid paying it.

He had hoped to move the sluggish school-finance negotiations forward by encouraging lawmakers to abandon a payroll tax that many of them did not want to pass and that could have slowed the tax-swap push considerably because it is a tough political sell.

Rep. Warren Chisum, R-Pampa, proposed an amendment that would give businesses the option of choosing between a payroll tax and the franchise tax. He said 325,000 more Texas businesses would pay taxes, raising an additional $100 million and ensuring a fairer tax system.

Perry had met with several dozen House Republicans for breakfast Wednesday, hours before the debate began, to underscore his opposition to the payroll tax. And his top aides were busy throughout the day, before the vote on Chisum's amendment, lobbying against its adoption. House members then killed the amendment 96-47. Democrats and Republicans split both ways on the vote.

PING-

Perry beat back the Pay Roll Tax(back door income tax) idea in the house.

Here's hoping the Senate does not lose their minds and try and put it back in.

Dewhurst has been a liberal on this issue. His old buddy Carol seems to support a back door state income tax as well.

I am pretty thrifty when I shop.

Example: You can buy jeans from Bass Pro Shops that cost less than other places and last longer.

A pal of mine tuned me in on that place.

RESULT- I am not paying the higher price tag....so the tax on it is not so bad.

WHAT I am getting at is......A sales tax is something the people can "vote on with their feet"

In the end...its better than a Pay Roll tax (back door state income tax) that Dems and others want.

ALSO, cost of goods are a little lower in Texas than in other places.

HOWEVER, LET ME SAY THIS.....SCHOOLS HAVE ENOUGH DAMN MONEY!
THEY NEED TO LEARN TO SPEND IT BETTER.....AND WE NEED TO AUDIT THEM!

I agree. I would hate to see a payroll tax over a slight increase in sales tax. I just moved back to Texas from Missouri and it stinks to give the state money from a paycheck and then pay sales tax. Property taxes haven't decreased so it is a mystery why schools are now struggling?

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