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SB 381

TO REPEAL THE LAW REQUIRING THE DEPARTMENT OF FINANCE AND ADMINISTRATION TO SUBMIT A REPORT CONCERNING THE ACTIVITIES OF THE MULTISTATE TAX COMMISSION AND ARKANSAS'S PARTICIPATION IN THE ACTIVITIES OF THE COMMISSION.

2025 Regular Session Introduced by Fran Cavenaugh and 1 co-sponsor

Arkansas repeals mandatory legislative reporting on the state's participation in the Multistate Tax Commission, eliminating oversight of interstate tax coordination activities.

Notification that SB381 is now Act 465
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WeVote Research Nonpartisan
Bill Summary · SB 381

Legislative bill overview

SB 381 repeals an existing Arkansas law that required the Department of Finance and Administration to submit regular reports to the legislature about the state's participation in the Multistate Tax Commission (MTC) and the Commission's activities. The bill eliminates this reporting requirement entirely.

Why is this important

The Multistate Tax Commission is an interstate compact that coordinates tax administration and policy among member states. Removing the reporting requirement reduces legislative oversight of Arkansas's involvement in this organization, potentially affecting transparency around tax policy coordination and interstate tax dispute resolution processes that could impact state revenue and business taxation.

Potential points of contention

  • Reduced legislative oversight: Eliminating reporting requirements decreases the legislature's ability to monitor and review the state's participation in an interstate tax organization, potentially limiting accountability
  • Unclear rationale: The bill provides no stated justification for why this reporting requirement is unnecessary, raising questions about whether this reduces transparency or merely streamlines administration
  • Impact on tax policy coordination: Legislators and the public may have reduced visibility into how Arkansas coordinates tax policy with other states through the MTC, including any agreements or positions that could affect state revenue

Compiled from official sources — confirm details with the bill’s official record.

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