Texas lawmakers are grappling with the potential impact of a proposal to eliminate property taxes.
Republicans have proposed abolishing property taxes, but the state comptroller's office cautioned that the revenue shortfall would need to be compensated through other means.
The office suggested that sales taxes might need to be raised to 22%, a move that Sen. Charles Perry argued could render the state less competitive in the retail market.
Perry expressed concern that such a drastic change could negatively affect essential services and infrastructure. According to the Legislative Budget Board, eliminating property taxes in Texas would result in a loss of more than $81 billion.
LISTEN on the Audacy App
Tell your Smart Speaker to "PLAY 1080 KRLD"
Sign Up to receive our KRLD Insider Newsletter for more news
Follow us on Facebook | Twitter | Instagram | YouTube