Bill > HB3279

This bill establishes a Select Commission on Periodic Tax Preference Review to systematically examine and evaluate state and local tax preferences (which include various tax breaks, exemptions, credits, and special tax treatments) every six years. The commission will consist of 10 members (five from the House of Representatives and five from the Senate) plus the state Comptroller, who will serve two-year terms. The commission's key responsibilities include developing a comprehensive review schedule for all tax preferences, conducting thorough evaluations of each preference to determine its intended purpose, effectiveness, cost-efficiency, and economic impact. The bill requires that each new tax preference enacted after September 1, 2026, must include a specific expiration date, not to exceed six years from its effective date. Tax preferences included in the commission's final report will automatically expire two years after submission unless explicitly reauthorized by law. The legislation is contingent upon voter approval of a related constitutional amendment and is set to take effect on January 1, 2026. The goal is to create a systematic, periodic review process that ensures tax preferences are regularly assessed for their continued utility and economic value to the state.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB3279