Teachers, Advocates for Poor Rip Bills to Slowly Erase Texas ‘margins’ Tax as Misguided

AUSTIN — Supporters of Texas' public schools and safety-net programs are raising alarms about bills that would phase out the business-franchise tax, probably over several years.While there would be no effect this session, the bills likely would force gradual elimination of the "margins tax," the state's third-largest source of tax money.Both GOP-controlled chambers are contemplating measures that would reduce franchise-tax rates to zero if future state revenues hit certain benchmarks or if there is a surplus of general-purpose state reveue. A surplus, or cash balance, can occur because of revenue growth, lawmakers' refusal to spend or some combination of the two.  Continue reading...