The Texas Sales Tax Rebate Program

Jose Angel Moreno, University of Texas at El Paso

Abstract

The sale tax rebate program has existed in states along the U.S. – Mexico border for over 60 years and, in Texas, it has been the subject of much debate regarding both its legitimacy and its efficacy in stimulating real retail sales particularly in border cities. No empirical research exists, though, that provides insight into the statistical relationships between the Texas retail sector and total certificates issued by Private Customs Brokers (PCBs) in border cities. This study fills this research gap by creating a model that tests the statistical significance of real retail sales on total certificates issued in Texas. Data in this thesis suggest that, in border cities, an increase in real retail sales dollars does not suggest an increase of sales tax rebate certificates issued by PCBs in these cities. The history and the current state of legislation for the program is also discussed, which provides the sufficient context for the behavioral model discussed within.

Subject Area

Law|Economics

Recommended Citation

Moreno, Jose Angel, "The Texas Sales Tax Rebate Program" (2017). ETD Collection for University of Texas, El Paso. AAI10266627.
https://scholarworks.utep.edu/dissertations/AAI10266627

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