Tennessee House Bill HB2924

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/24

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, relative to franchise and excise taxes.

Impact

The implications of HB2924 are primarily administrative, as it mandates reporting on tax credits that have been extended to industries. By requiring this report by February 1, 2025, the bill seeks to ensure that there is a clear understanding of the financial impact of these tax incentives on the state's economy. This could potentially influence future decisions regarding tax policy relating to industrial machinery in Tennessee.

Summary

House Bill 2924 aims to amend the Tennessee Code Annotated, specifically focusing on franchise and excise taxes. The bill requires the commissioner of revenue to compile and report the total annual amount of industrial machinery franchise and excise tax credits provided in the fiscal years 2020 to 2024. This measure is designed to enhance transparency in the state's tax credits associated with industrial machinery, thereby allowing lawmakers to make more informed decisions regarding these financial incentives.

Sentiment

Reactions to HB2924 have generally been neutral, as the bill does not propose any substantial changes to the existing tax law but instead emphasizes reporting and transparency. Stakeholders in the business community may appreciate the focus on accountability, while tax analysts and policymakers can utilize the data to analyze trends in tax credits and their effectiveness.

Contention

While there does not seem to be significant contention around HB2924 due to its procedural nature, some may argue about the necessity of such reports and whether they provide meaningful data or additional bureaucratic burden. Critics may also question the effectiveness of tax incentives and whether greater scrutiny will lead to more significant changes in tax policy or reform.