If approved by Texas voters, Proposition 3 would prohibit a wealth or net worth tax.

Texas currently does not have a net worth tax, which is why lawmakers are proposing Proposition 3 to make sure that never happens.

A net worth tax is a tax on a person's assets, minus their liabilities. 

Assets are things a person owns that have a taxable value, such as a car, home and property. 

Liabilities are things that people owe money on, like credit cards and loans.

“The opponents make the argument that this is going to help the wealthiest of the wealthy, this is a proposition that could actually hinder state financing,” UTSA political science professor Jon Taylor said. 

Supporters of the proposition say it would ensure Texas stays a low tax state, while continuing to protect the values of businesses.

“It basically is the idea we want to show Texas has had a long-standing support for economic self-determination and growth, pro-business in other words,” Taylor added.

Election Day is Tuesday, Nov. 7.

Check out Channel 5 News’ elections page for more resources.