Property Tax Relief Supported by 34 Business Organizations and Associations in Texas

In a unified show of support, 34 business organizations and associations have sent a letter to the state leadership endorsing Governor Greg Abbott‘s proposal for property tax relief during the ongoing special session of the Texas Legislature.

Governor Greg Abbott’s proposal for property tax relief

The groups expressed their backing for the governor’s plan to implement tax rate cuts aimed at reducing school property taxes. The letter, addressed to Governor Abbott, Lieutenant Governor Dan Patrick, and House Speaker Dade Phelan, outlines the organizations’ support for a combined $0.26 reduction per $100 of property value, with an additional $0.16 reduction specifically targeted at school property tax rates. This adjustment would result in a decrease from $0.91 to $0.64 in the school tax rates for maintenance and operations (M&O) from 2022 to the following year.

The anticipated impact of these rate cuts is substantial, as they are expected to generate savings of $17.6 billion for property owners across the state, including homeowners, businesses, and rental properties. For instance, a homeowner with a property valued at $300,000 would witness a $1,300 reduction in their property taxes over the next two years, and this relief would extend into future years.

The signatories of the letter emphasize that this proposed plan represents the most substantial property tax reduction in the history of Texas

Among the signatories are prominent business organizations such as Americans for Prosperity – Texas, Associated General Contractors of Texas, National Federation of Independent Business – Texas, and Texas REALTORS, among others. The broad support from these diverse entities highlights the shared belief in the necessity and effectiveness of the Governor’s plan.

The comprehensive list of organizations that have endorsed the letter includes those representing various industries such as agriculture, construction, energy, hospitality, manufacturing, retail, and more. Together, these organizations form a formidable coalition advocating for property tax relief, aiming to alleviate the financial burden on property owners and stimulate economic growth across Texas.

As the special session continues, it remains to be seen how the state leadership will respond to this united call for property tax relief.

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