LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 4, 2009 TO: Honorable Rene Oliveira, Chair, House Committee on Ways & Means FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB1257 by Legler (Relating to the payment in installments of ad valorem taxes on certain property owned by a business entity and located in a disaster area.), Committee Report 1st House, Substituted No fiscal implication to the State is anticipated. The bill would amend Chapter 31 of the Tax Code, regarding the collection of property taxes. The bill would expand an installment payment option for ad valorem taxes. Under current law, the option is available for residence homesteads and residential housing with less than five units that were damaged as the result of a disaster. The bill would extend the option to certain property damaged by a disaster and owned or leased by a business entity with $5 million or less in annual gross receipts. The expanded installment payment option would cover real and tangible personal property. Passage of the bill would expand the installment payment option but would still require that taxes be paid in the year following the tax year in which they are imposed. The bill would affect the timing but not the amount of taxes collected in a given year on certain property damaged by a disaster. Because the state is constitutionally prohibited from imposing a state property tax, there would be no fiscal impact on the state. The bill would take effect immediately upon enactment, assuming that it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2009. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:304 Comptroller of Public Accounts LBB Staff: JOB, MN, SD, SJS
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
April 4, 2009
TO: Honorable Rene Oliveira, Chair, House Committee on Ways & Means FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB1257 by Legler (Relating to the payment in installments of ad valorem taxes on certain property owned by a business entity and located in a disaster area.), Committee Report 1st House, Substituted
TO: Honorable Rene Oliveira, Chair, House Committee on Ways & Means
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB1257 by Legler (Relating to the payment in installments of ad valorem taxes on certain property owned by a business entity and located in a disaster area.), Committee Report 1st House, Substituted
Honorable Rene Oliveira, Chair, House Committee on Ways & Means
Honorable Rene Oliveira, Chair, House Committee on Ways & Means
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB1257 by Legler (Relating to the payment in installments of ad valorem taxes on certain property owned by a business entity and located in a disaster area.), Committee Report 1st House, Substituted
HB1257 by Legler (Relating to the payment in installments of ad valorem taxes on certain property owned by a business entity and located in a disaster area.), Committee Report 1st House, Substituted
No fiscal implication to the State is anticipated.
No fiscal implication to the State is anticipated.
The bill would amend Chapter 31 of the Tax Code, regarding the collection of property taxes. The bill would expand an installment payment option for ad valorem taxes. Under current law, the option is available for residence homesteads and residential housing with less than five units that were damaged as the result of a disaster. The bill would extend the option to certain property damaged by a disaster and owned or leased by a business entity with $5 million or less in annual gross receipts. The expanded installment payment option would cover real and tangible personal property. Passage of the bill would expand the installment payment option but would still require that taxes be paid in the year following the tax year in which they are imposed. The bill would affect the timing but not the amount of taxes collected in a given year on certain property damaged by a disaster. Because the state is constitutionally prohibited from imposing a state property tax, there would be no fiscal impact on the state. The bill would take effect immediately upon enactment, assuming that it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2009.
The bill would amend Chapter 31 of the Tax Code, regarding the collection of property taxes.
The bill would expand an installment payment option for ad valorem taxes. Under current law, the option is available for residence homesteads and residential housing with less than five units that were damaged as the result of a disaster. The bill would extend the option to certain property damaged by a disaster and owned or leased by a business entity with $5 million or less in annual gross receipts. The expanded installment payment option would cover real and tangible personal property.
Passage of the bill would expand the installment payment option but would still require that taxes be paid in the year following the tax year in which they are imposed. The bill would affect the timing but not the amount of taxes collected in a given year on certain property damaged by a disaster. Because the state is constitutionally prohibited from imposing a state property tax, there would be no fiscal impact on the state.
The bill would take effect immediately upon enactment, assuming that it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2009.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: JOB, MN, SD, SJS
JOB, MN, SD, SJS