The proposed joint resolution, S.J.R. No. 18, seeks to amend the Texas Constitution by adding Section 24-b to Article VIII, which would prohibit the imposition of taxes on the realized or unrealized capital gains of individuals, families, estates, or trusts. This includes any taxes related to the sale or transfer of capital assets that would be payable by the aforementioned entities. However, the resolution clarifies that this prohibition does not extend to ad valorem taxes on property, sales taxes on retail goods or services, or use taxes on the consumption of goods or services purchased at retail.

If approved, this constitutional amendment will be presented to Texas voters during the election scheduled for November 4, 2025. The ballot will allow voters to express their support or opposition to the proposition, which aims to safeguard individuals and entities from capital gains taxation in the state of Texas.