82R87 SMH-D
By: Bonnen H.B. No. 2347
A BILL TO BE ENTITLED
AN ACT
relating to the eligibility of property to continue to receive a
residence homestead exemption from ad valorem taxation for not more
than three years after the property ceases to be the owner's
principal residence if the property is being offered for sale.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.13, Tax Code, is amended by adding
Subsections (s) and (t) to read as follows:
(s) Notwithstanding the other provisions of this section,
an owner may continue to receive an exemption under this section for
a qualified residential structure and the land and improvements
used in the residential occupancy of the structure for not more than
the three tax years following the tax year in which the owner ceases
to occupy the structure as the owner's residence homestead
regardless of whether the owner establishes a different principal
residence for which the owner receives an exemption under this
section if the structure:
(1) is not occupied by or leased to any person;
(2) is being actively offered for sale; and
(3) is not used for any business or commercial
purpose.
(t) To continue to receive an exemption under this section
as provided by Subsection (s), a person must apply for the
continuation of the exemption in the manner provided by Section
11.43 for an initial exemption under this section. Section 11.431
applies to an application for the continuation of an exemption
under Subsection (s) in the same manner as Section 11.431 applies to
an application for an exemption under another provision of this
section.
SECTION 2. Section 11.26, Tax Code, is amended by amending
Subsection (n) and adding Subsection (p) to read as follows:
(n) Notwithstanding Subsection (c), the limitation on tax
increases required by this section does not expire if the owner of
the structure qualifies for an exemption under Section 11.13 under
the circumstances described by Section 11.13(s) or 11.135(a).
(p) An individual who receives a limitation on tax increases
required by this section and who qualifies the property for the
continuation of an exemption under Section 11.13 as provided by
Section 11.13(s) may continue to receive the limitation with
respect to the property in each tax year in which the property
continues to receive the exemption regardless of whether the
individual qualifies under Subsection (g) for a limitation on ad
valorem taxes on a subsequently qualified residence homestead.
SECTION 3. Section 11.261, Tax Code, is amended by amending
Subsection (l) and adding Subsection (n) to read as follows:
(l) Notwithstanding Subsection (d), a limitation on county,
municipal, or junior college district tax increases provided by
this section does not expire if the owner of the structure qualifies
for an exemption under Section 11.13 under the circumstances
described by Section 11.13(s) or 11.135(a).
(n) An individual who receives a limitation on tax increases
provided by this section and who qualifies the property for the
continuation of an exemption under Section 11.13 as provided by
Section 11.13(s) may continue to receive the limitation with
respect to the property in each tax year in which the property
continues to receive the exemption regardless of whether the
individual qualifies under Subsection (g) for a limitation on ad
valorem taxes on a subsequently qualified residence homestead.
SECTION 4. This Act takes effect on the date on which the
constitutional amendment proposed by the 82nd Legislature, Regular
Session, 2011, relating to the eligibility of property to continue
to receive a residence homestead exemption from ad valorem taxation
for not more than three years after the property ceases to be the
owner's principal residence if the property is being offered for
sale takes effect. If that amendment is not approved by the voters,
this Act has no effect.