Texas lawmakers approve $7 million in tax breaks for oil companies

May 22, 2021 News

AUSTIN, Texas — The state Senate has approved a package of tax breaks designed to help oil companies compete in the booming pet and cosmetic industry.

Senators approved a $7.4 million package of business tax relief and a $2.4 billion package of credit enhancements for oil and gas companies Thursday.

The package, which passed by a 52-37 vote, provides an estimated $721 million in business tax breaks to oil companies over the next 10 years.

The state has an average of $10 billion in revenue from oil and natural gas production annually, according to the state Office of Economic Development.

The bill also would provide a $100 million incentive package for companies that hire thousands of people from the pet and cosmetics industries.

It also would expand the tax credit to allow for oil production that is used for cosmetics, cosmetics products, pet care, veterinary medicine, food and beverages, and agricultural products.

The oil and pet industries have long argued that the oil and other natural gas tax breaks are unfair.

Some argue that oil companies are getting the tax breaks because of political contributions from their industries and other industry groups.AUSTIN — The Texas House on Thursday approved a measure that would extend tax relief for oil, gas and other energy companies that invest in the pet industry.

House Bill 3247 would extend a 20 percent tax credit for oil-related companies.

It would also expand the credit for pet and pet care businesses.

The Texas Tribune thanks its sponsors.

Become one.

The House also approved a bill that would allow the Texas Air Quality Management District to add oil-producing companies to its oil and environmental protection list.

The measure would expand an existing exemption for oil producers to include oil and energy-related businesses.

It also would allow TARMWD to add pet and dog grooming businesses.

Sen. John Whitmire, D-Dallas, sponsored the measure.

He said the legislation will benefit Texas’ pet and natural-gas industries and the Texas economy overall.

Whitmire said TARWMD will benefit both pet and human health and welfare.

The bill also gives the state the authority to adopt and implement rules and regulations that apply to oil and oil and mining companies.

The Austin American-Statesman contributed to this report.

By admin