Texas Senate Bill SB652

Texas 2025 - 89th Regular

• Filed: 12/18/24

Caption

Relating to the authority of the commissioners court of a county to adopt an exemption from ad valorem taxation by the county of a portion, expressed as a dollar amount, of the appraised value of an individual's residence homestead.

Impact

The ramifications of SB652 could be significant for Texas homeowners, as it will directly impact how property taxes are assessed at the county level. By enabling counties to provide these exemptions, residents may experience reduced property tax bills, translating to financial relief for many households. As property taxes often compose a substantial portion of local revenue, the implementation of such exemptions would necessitate careful planning by county officials to ensure that public services remain adequately funded while still providing tax relief to constituents.

Summary

SB652 is a proposed legislative act in Texas that focuses on granting county commissioners the authority to adopt exemptions from ad valorem taxation on a portion of the appraised value of an individual's residence homestead. Specifically, the bill allows counties to exempt up to $100,000 of the appraised value if the exemption is adopted before July 1, thus intending to ease the tax burden on homeowners. This amendment aims to empower county governments by giving them greater flexibility in managing local property taxes, which could potentially aid in address local fiscal needs and community support.

Contention

While the bill may seem beneficial to homeowners, it has sparked discussions around the implications for county tax revenue and services. Some lawmakers and critics raise concerns that allowing counties to adopt such exemptions could lead to disparities in taxation and services across different regions, particularly if wealthier counties can afford to implement more robust tax relief than others. There are also debates regarding the potential effects on local education funding and infrastructure, as property taxes often contribute significantly to these sectors.

Texas Constitutional Statutes Affected

Tax Code

• Chapter 11. Taxable Property And Exemptions
  • Section: 13

• Chapter 25. Local Appraisal
  • Section: 23