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February 27, 2025 4 mins
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Episode Transcript

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Speaker 1 (00:01):
Another working over time in the Texas House and the
Texas Senate because they're in session and they're try trying
to come up with some tax deals. We have two
different property tax proposals, the one in the Senate different
than the one in the House. And we'll see how
long it takes to reconcile and come up with something
everybody can agree on. Join us to talk about that.
And this business tax cut proposal is Steve Toath, Texas

(00:23):
State Representative. Well, how's it going so far.

Speaker 2 (00:26):
Sir, Hey, Jimmy, it's good. Well, my nose is growing.
It's not going good. We're taking we're taking too much time.
We're wasting too much time. We've got to get to work, Jimmy.
We've all got one hundred and forty days in a session,
and honestly, we're taking too many five day weeks. There
are a bunch of us that keep voting against those

(00:48):
long extended weekends. But leadership's not getting the message.

Speaker 1 (00:52):
I got you, Okay, Well, don't times gonna say, don't
start this interview by lying to me, okay about things
going well? So yeah, I mean house, the House is.
The House has been moving very very slowly. Thanks to
the direction of your new House Speaker. That obviously is
intentional because there's only a few things he wants to

(01:13):
get accomplished. I'm assuming.

Speaker 2 (01:17):
This is how the Democrats kill legislation, and when you
garner your leadership from the entire Democrat party, then this
is what they demand. You know, they want to slow
everything down so that we're able to do as little
damage to the Green New Deal and to the Democrat
agenda as possible in this session because we're only here

(01:39):
five months once every two years.

Speaker 1 (01:42):
Yeah, so does I guess let's start before we get
into this business tax proposal here? Does does property tax
relief get done? And if so, which form do you
think it takes? Is it going to be more like
the current House built or more like the current Senate bill?

Speaker 2 (01:56):
It's going to be more I think it's even more
like the Senate bill. And here's the problem with a
House bill. It requires a constitutional amendment because we're we
would be extending a huge homestead exemption towards business owners.
Eighty percent of the jobs created in Texas are small businesses.
When we came out of the recession in two thousand
and eight, two thousand and nine, forty percent of the
jobs created in the United States were created by Texas

(02:20):
and all small businesses, medium sized businesses, and we've got
to give them some relief. The property tax system in
Texas is a joke. It's killing people, it's killing individuals,
killing businesses, and at some point it's going to catch
up and it's going to strangle the Texas miracle. The
property tax system is busted. We spent eighteen billion dollars

(02:41):
in top property tax impression last year. I'm sorry. Last session.
We're going to add sorry about that. We're going to
ad an additional ten billion this session. But the reality
is that as long as small business I'm sorry, as
long as local government has the ability to raise our taxes,
then there's no way we can stay ahead of it

(03:01):
at the state level.

Speaker 1 (03:02):
Yeah, And what this does is it's just incrementalism at
its finess there or it's worse than this particular case.
We really need to bite the bullet and come up
with a permit of solution here, don't we?

Speaker 2 (03:14):
Just like Florida exactly, we can do this through a
consumption tax. It's completely doable. We've got to take the
ability away from local government to raise our taxes.

Speaker 1 (03:27):
So when it comes to business taxes, I mean, is
that part of what you were talking there that the
same kind of relief that we're talking about property taxes
has to come in the form of business tax relief
or we're going to drive Texas businesses out of business.

Speaker 2 (03:41):
Correct, that's absolutely correct. And you know between the sales
tax between our franchise tax which small businesses have to endure,
which it's the most oppressive tax you can think of, Jimmy,
because a small business does not even have to be
profitable in order to ordered to be our a medi
and fiz business does not even have to be profitable

(04:04):
in order to be eligible to pay that tax. Ridiculous.

Speaker 1 (04:07):
Yeah, all right, well, good luck in getting rid of it.
I'm assuming that it perhaps that much we'll get done
in this legislative session. How about school choice? Is that
going to get done?

Speaker 2 (04:17):
School choice is going to get done. Brother, We find
it operated yesterday with a governor, seventy seven people signed on.
You only need seventy six. We should be around seventy
nine or eighty by the end of the day to
day that have signed on to the legislation. But it's
going to get done.

Speaker 1 (04:31):
Okay, well, nothing happens quickly here in Texas. It's been,
it's been, it's been. It's been a long time coming,
all right, sir, thanks for the update I appreciate. Hopefully
give things move a little quicker for you. Steve Toath,
Texas State Representative. It is six twenty seven
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