Draft
Truth in Forecasting Act
Model Policy
{Title, enacting clause, etc.}
Section 1. {Title.} This Act shall be known and may be cited as The Truth in Forecasting Act.
Section 2. {Statement of purpose.} It is the intent of the legislature to require a more accurate estimate of proposed changes in state tax law.
Section 3. {Amendment to state revenue and tax code.}
Section [cite appropriate number] is amended to read:
(A) To the extent that any fiscal estimate prepared by [cite appropriate entity] regarding one or more proposed changes in state tax law, the [cite appropriate entity] shall prepare the estimate on the basis of assumptions that estimate the probable behavioral response of taxpayers, businesses, and other citizens to those proposed changes and shall include in the fiscal estimate a statement identifying those assumptions.
(B) Every legislative instrument that would involve a change in state tax law shall have attached to it prior to its consideration by any committee of either House of the legislature a fiscal estimate using methodology pursuant to paragraph (A).
Section 4. {Severability clause.}
Section 5. {Repealer clause.}
Section 6. {Effective date.}