Texas House Bill HB3493

Texas 2019 - 86th Regular

Caption

Relating to a requirement that a purchaser of commercial real property disclose the sales price of the property to the appraisal district and to the use of that information by the appraisal district; creating a criminal offense.

Impact

If enacted, HB 3493 would amend the Tax Code to create a structured process for disclosing sales prices of commercial real properties. The information disclosed would be confidential but could be utilized by appraisal districts to assess market values better. Importantly, the bill aims to streamline property assessments and mitigate disputes concerning property valuations, ultimately bringing about an impact on how commercial properties are evaluated for taxation purposes.

Summary

House Bill 3493 introduces a new requirement for purchasers of commercial real property to disclose the sales price to the appraisal district within a specific timeframe. The bill mandates that the purchaser or grantee must file a sales price disclosure report not later than the 10th day after the deed is recorded in the county's real property records. This initiative aims to increase transparency in real estate transactions and assist appraisal districts in accurately assessing property values, particularly for income-producing properties.

Contention

The bill also establishes penalties for noncompliance, making it a Class B misdemeanor to disclose the sales price information improperly. This enforcement mechanism may lead to mixed reactions, as some stakeholders may view it as a necessary measure to uphold accountability, while others might perceive it as overly punitive. Critics may argue that such requirements could impose unnecessary burdens on property buyers and sellers, particularly in complex transactions where multiple parties are involved.