LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: HB 207 HLS 21RS 292
Bill Text Version: ENGROSSED
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.:
Date: April 20, 2021 11:21 AM Author: ZERINGUE
Dept./Agy.: Revenue
Subject: Income Tax Analyst: Greg Albrecht
TAX/INCOME TAX EG SEE FISC NOTE GF RV See Note Page 1 of 1
(Constitutional Amendment) Provides for the rates and brackets for purposes of calculating income taxes and eliminates the
mandatory deduction for federal income taxes paid for purposes of computing income taxes
Present constitution allows income taxes to be graduated according to the level of income, requires a deduction of federal
income taxes paid when computing state income taxes, and prohibits the rates and brackets from exceeding those in effect
on January 1, 2003.
Proposed amendment requires that the income tax schedule of rates and brackets be provided for in law, and eliminates the
requirement for a federal income taxes paid deduction for income tax (applicable to both individual and corporate income
tax). Effective for all tax years beginning on and after January 1, 2023.
To be submitted to the electors at the statewide election to be held on November 8, 2022.
EXPENDITURES 2021-22 2022-23 2023-24 2024-25 2025-26 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
REVENUES 2021-22 2022-23 2023-24 2024-25 2025-26 5 -YEAR TOTAL
State Gen. Fd. $0 SEE BELOW SEE BELOW SEE BELOW SEE BELOW $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0
EXPENDITURE EXPLANATION
There is no anticipated direct material effect on governmental expenditures as a result of this measure.
REVENUE EXPLANATION
There is no anticipated direct material effect on governmental revenues as a result of this measure alone. The deduction for
federal taxes paid and the rate and bracket structure of the income tax are currently provided in statute, consistent with
current constitutional provisions. This constitutional amendment does not changes those statutory provisions, and does not
prohibit a federal tax deduction for income tax. Specific statutory changes would be required to provide provisions different
than those in current law. This amendment does not itself provide them.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Christopher A. Keaton
13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Legislative Fiscal Officer