Governor Abbott signs $4 billion tax relief bill

Submitted photo.

Texas Governor Greg Abbott signed into law a $4 million tax relief bill on June 15, 2015.

AUSTIN — On Monday, June 15 Governor Greg Abbott signed into law HB 32 and SB 1 (D. Bonnen, R-Angleton; Nelson, R-Flower Mound) providing over $4 billion dollars in tax relief to homeowners and businesses in Texas.

HB 32 permanently cuts the business franchise tax by 25 percent across-the-board, taking a big step towards elimination, while promoting job creation and protecting Texas' economic prosperity.

SB 1 raises the property tax Homestead Exemption from its current rate of $15,000 to $25,000 and requires a taxing unit that is adopting a property tax rate above its effective rate to have a vote of at least 60% of its governing board.

"Being a freshman member of the House Ways & Means Committee and a co-author to HB 32, I was honored to play a role in cutting taxes for my constituents," Representative John Wray said. "In times of surplus, it is the government's duty to either invest, pay off debt, or give excess revenue back to the tax payers."

"Hardworking Texans have forged a strong and diversified economy, growing more jobs last year than any year in the history of Texas,” Governor Abbott said. "But we cannot be complacent. The best job creation program is tax reduction. While other states are increasing taxes and driving out businesses, the State of Texas is cutting more than $4 billion in taxes and fees.”