The Texas economic model of no personal income taxes, a balanced regulation environment, and a predictable civil justice system has made Texas the nation’s leader in job creation for the last decade.
These are important policy achievements, but what else can be done for Texas to stay competitive over the long term?
Other states are aggressive in offering incentives for corporate expansion and re-location and Texas must keep up, with a close eye on the return on investment (ROI) for such incentives.
Business taxes and in particular ad-valorem property taxes remain too high compared to other states. In Texas, companies pay 62% of all taxes versus an average of 42% in other states.
Granted, Texas has inherent policy advantages, BUT this ‘cost of doing business’ issue should be addressed if we’re serious about long-term economic competitiveness.
What other tools does Texas have to stay the best place in America for business?
Chapters 312 and 313 of our tax code have helped Texas remain a destination for major industrial facilities.
The Texas Enterprise Fund allows Governor Abbott to recruit major job creators like Caterpillar, Chevron, Toyota, Home Depot, and Samsung (and, just maybe, Amazon’s HQ 2)
Access to private capital is also critical. What role can the state and our Universities play in this regard and bringing our most innovative technologies to market, a la Silicon Valley?
Come January, the 86th Texas Legislature, business leaders, and entrepreneurs will be considering all of these questions.
Find this report on KXAN (NBC Austin) here:
Contact Craig Casselberry at firstname.lastname@example.org or (512) 762-7366.