Texas House Bill HJR45

Texas 2009 - 81st Regular

Caption

Proposing a constitutional amendment increasing the amount of the residence homestead exemption from ad valorem taxation for public school purposes to $45,000 and providing for a reduction of the limitation on the total amount of taxes that may be imposed for those purposes on the homesteads of the elderly or disabled to reflect the increased exemption amount.

Impact

By raising the exemption limit, HJR45 would directly impact revenue generated from property taxes for public school purposes. The Texas legislature will need to consider how these changes could affect funding for education and how they can formulate compensatory measures to safeguard school district revenues from potential loss due to the exemption increase. Proponents argue that the increase will not only alleviate tax burdens for homeowners but also contribute positively to the overall economic situation of residents who are often on fixed incomes.

Summary

HJR45 proposes a constitutional amendment to increase the residence homestead exemption from ad valorem taxation for public school purposes from $15,000 to $45,000. This significant increase aims to reduce the property tax burden on homeowners, particularly benefiting those with fixed or limited incomes, such as the elderly and disabled. As a consequence of the increased exemption, the bill also outlines a reduction in the limitation on the total amount of taxes imposed on the homesteads of elderly or disabled individuals, ensuring the exemption reflects this increase. The proposed changes seek to enhance financial relief for these vulnerable populations in Texas.

Contention

Notable points of contention surrounding HJR45 revolve around the implications of the increased exemptions on public school funding. Critics worry that raising the homestead exemption may lead to significant reductions in local school district revenues, thereby affecting the quality and availability of education resources. There may also be discussions around the criteria for eligibility for the additional exemption based on economic need, especially for the elderly and disabled. This adds a layer of complexity regarding the equitable distribution of tax relief among residents who may not all qualify for the same benefits.