- Texas' margin tax is complex, costly, and difficult to comply with, giving rise to a less competitive state business climate.
- The margin tax has consistently underperformed. Collections have fallen below expectation in most years since its inception, partially resulting from legal tax avoidance strategies, a common issue with complex tax schemes.
- Texas does not have a revenue problem. From the 2004-05 to the 2016-17 budget cycle, the state's estimated total tax collections is 75 percent, much faster than the 55 percent growth rate of population plus inflation.
- Eliminate the margin tax.