With a number of tax structure modification alternatives are under consideration by policymakers in Texas, one alternative is to fund a property tax reduction with an increase in the sales tax. The size of the property tax reduction being discussed is about 50% of the current levy for school maintenance and operations, or $8.5 billion in 2005. The tax change is reviewed from the perspective of several recognized characteristics of good tax policy. This paper analyzes five alternative formulations (scenarios) of the tax shift according to various sales tax rate and sales tax base-broadening options.
K-12 Education
Texas Spends Billions on Public Schools. Where Does the Money Go?
Texans paid nearly $105 billion last year to support public schools. They expect that money to go towards providing students with a quality education, not to merely employ adults or line the pockets of outside consultants and contractors. If Texas wants a school system that is focused on effective education and not the appearance of...
August 28, 2026