Proposing a constitutional amendment authorizing the legislature to define certain terms for purposes of the exemption from ad valorem taxation of farm products in the hands of the producer.
Impact
The proposed changes under HJR17 could significantly affect the taxation landscape for agricultural producers in Texas. By empowering the legislature to define terms related to tax exemptions, the bill aims to provide greater clarity and consistency in how farm products are treated under state tax law. This would not only benefit farmers by reducing their tax burdens but could also stimulate agricultural production and economic activities related to farming. However, the change will require careful consideration to ensure it does not inadvertently exclude certain producers from benefiting from the exemption.
Summary
HJR17 is a joint resolution proposing an amendment to the Texas Constitution that would grant the legislature the authority to define terms related to the exemption from ad valorem taxation for farm products in the hands of their producers. The resolution aims to clarify what constitutes 'farm products' and who qualifies as 'the producer,' potentially expanding the existing definitions to include livestock, poultry, timber, and necessary supplies utilized in farming operations. This amendment is set to be submitted to voters during an election scheduled for May 2, 2026.
Contention
While supporters of HJR17 argue that defining 'farm products' and 'in the hands of the producer' promotes fairness and clarity, opponents may raise concerns about the potential for legislative overreach. The ability of the legislature to alter definitions could lead to disparities in taxation, affecting smaller producers or specific agricultural sectors. Ensuring equitable treatment among all farm producers will be a key contention point, as lawmakers must balance regulation with the need to support the state's agricultural economy.
Enabled by
Relating to the definitions of certain terms for purposes of the exemption from ad valorem taxation of farm products in the hands of the producer.
Proposing a constitutional amendment authorizing the legislature to define certain terms for purposes of the exemption from ad valorem taxation of farm products in the hands of the producer.
Proposing a constitutional amendment to authorize the legislature to define certain terms for purposes of the exemption from ad valorem taxation of farm products in the hands of a producer and to authorize the commissioners court of a county to exempt from ad valorem taxation by each political subdivision that taxes the property the portion of the assessed value of a person's property that is attributable to the installation in or on the property of a rainwater harvesting or graywater system.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation income-producing tangible personal property for a certain period of time.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation income-producing tangible personal property having a value of less than a certain amount.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation income-producing tangible personal property having a value of less than a certain amount.
Proposing a constitutional amendment authorizing the legislature to increase the amount of the exemption from ad valorem taxation of property owned by certain disabled veterans.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation a mineral interest that has a value of less than a certain amount.
Proposing a constitutional amendment to authorize the legislature to exempt from ad valorem taxation a portion of the market value of tangible personal property a person owns that is held or used for the production of income.