Texas BudgetTexas receives revenue from many different sources.1.Federal Income Tax2.State Sales Tax3.Local Property Tax4.Fines and Fees5.Lottery6.Windfall or unexpected income

Federal Income Tax• Citizens who have a job

pay income tax from the money they make.

• Income taxes are automatically deducted from your pay check.

• By April 15 of each year you need to file an Income Tax report to the Federal Government. You may owe them more money or you could get some back.

State Sales Tax• Texas charges 6.25% sales tax on

every dollar citizen spend.• Local governments can add 2% sales

tax to make a total of 8.25%.• Items not taxed when sold are foods

that have not been prepared for immediate consumption.

Local Property Tax

• When you buy property, land or building, you will pay property taxes on that item each year you own it.

• The home you live in permanently can be Homesteaded. That means your tax rate is lower than your vacation house rate.

Fees, Fines and Windfall• Fees– Drivers License– Hunting & Fishing

License– Marriage License– State Park Fees– Vehicle Registration– Handgun License– Boating License– Home title Fees

• Fines– Traffic Violations– Littering– Loitering– All Misdemeanors– Most Felonies

• Windfall– Lawsuits

Texas Expenditures

1. Executive Agencies receive most of the revenue.– TEA (Texas Education Agency) receives the most.

2. Local Governments receive revenue from the state.– Conroe (city)– Montgomery County

3. Special Districts receive revenue from the state– C.I.S.D. (Conroe Independent School District)– M.U.D. (Municipal Utilities District)

Governments supply services with revenue collected.

• Police/Military Protection• Fire Protection• Waste Management• Education (#1 expense)• Road construction and repairs.• Parks• Libraries• Health and Human Services