Senate Finance Committee Approves Franchise Tax Relief Bill
May 20, 2015
The Senate Finance Committee today approved HB 32, the companion to SB 7 by Senator Jane Nelson, to provide $2.56 billion in franchise tax relief for Texas businesses.
"For our economy to continue to thrive, for businesses to grow and for jobs to be created, we have to support our businesses," said Senator Nelson. "This is a smart investment, not just for our economy but also for young Texans to grow up in a state with jobs and opportunities."
The committee substitute for HB 32, by Representative Dennis Bonnen, reduces the franchise tax by 25 percent, increases the revenue threshold for businesses to use the E-Z rate from $10 million to $20 million and reduces the E-Z rate from .575 percent to .331 percent. The bill will now move before the full Senate.