Time for a corporate income tax?

Maybe, but don’t hold your breath waiting for it to happen.

Senate Finance Chairman Steve Ogden, R-Bryan, said legislators should consider a constitutional amendment that would clarify that an income tax could be assessed on corporations but not individuals.

The objective would be to use the corporate income tax to replace the current franchise tax that is considered unfair by many businesses.

“Even if you lose your shirt, you still may be liable for paying the business tax because it isn’t an income tax,” Ogden said. “That business tax is a mess.”

Overcoming the visceral objection to an income tax will be tough — even if it would apply only to businesses.

“I think at least it’s something we should consider,” Ogden said. “I think the voters are reasonable people. If we propose reasonable solutions, I think they will give it serious consideration.”

If they can hear your reasonable proposals over the screeching and caterwauling that would be sure to accompany it, then sure, they’ll consider it. Good luck with all of the zombie lies that will be told. The point of this is that the much-reviled business margins tax, in addition to its other flaws, may be assessed on a business that lost money in a given year. This is because it was explicitly designed to not be an income tax, because that would be unconstitutional and Just Plain Wrong. Yeah, I don’t get it, either. Anyway, Ogden’s plan isn’t going to go anywhere because tax legislation must originate in the House, and House Ways and Means Chair Harvey Hilderbran has said no new tax bills will be forthcoming this session. So, barring anything unusual, we’re stuck with the system we have for at least two more years.

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