Texas Senate approves constitutional ban on personal income tax

Posted: May 22, 2019 | Author:

The Texas Senate has passed HJR 38 by Rep. Jeff Leach (R-Plano), a constitutional amendment that would bar a state personal income tax. The ballot measure amending the Texas Constitution would go on the November 2019 ballot for voter approval.

Under the current constitutional provision, Texas lawmakers would be required to obtain voter approval to impose a personal income tax on Texans. If HJR 38 is added to the Constitution, the Legislature would not be able to impose a tax on the net income of individuals, including an individual’s share of partnership and unincorporated association income, effectively banning a personal income tax in Texas.

Approved in the House 100–42 on May 9, HJR 38 passed the Senate 22–9 on May 20, and the measure now goes to Texas voters.

Contact Jeff Huffman, Texas Credit Union Association, at 469-385-6488 or jhuffman@txcua.coop for more information.