Bill: HJR 38, 85(1) - 2017
Committee
House Ways and Means
Vote Recommendation
Vote Recommendation |
Economic Freedom |
Property Rights |
Personal Responsibility |
Limited Government |
Individual Liberty |
Neutral |
Neutral |
Neutral |
Neutral |
Neutral |
Neutral |
Author(s)
Giovanni Capriglione
Bill Caption
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation precious metal held in the Texas Bullion Depository.
Fiscal Notes
From LBB: No significant fiscal implication to the State is anticipated, other than the cost of publication.
The cost to the state for publication of the resolution is $114,369.
Bill Analysis
This bill proposes an amendment to the Texas constitution to permit the legislature to "exempt from ad
valorem taxation precious metal held in the Texas Bullion
Depository" and to define the term "precious metal" as it relates to this exemption.
Vote Recommendation Notes
This bill exempts an entire class of property from taxation to the equal benefit of all owners of that type of property. However, this would also have the effect of using the tax system to encourage people to store their precious metals in a specific depository instead of using other storage options that may be available to them. This is a form of picking winners and losers in the economy through state policy. We support the concept of exempting precious metals from taxation but oppose using tax policy to incentivize utilization of a state-preferred storage option. For these reasons we remain neutral on this constitutional amendment and its related enabling legislation.