Texas Senate Bill SB1440

Texas 2011 - 82nd Regular

• Out of Senate Committee: 5/6/11
• Introduced: 3/10/11
• Refer: 3/22/11
• Report Pass: 5/6/11

Caption

Relating to the requirement to prepay ad valorem taxes as a prerequisite to determining certain motions or protests and the authority of an appraisal review board to determine compliance with the requirement.

Impact

The bill introduces changes that ensure that property owners who intend to contest their appraisals must have paid the taxes associated with the undisputed portion of their property values. The implication of this change could lead to a more structured and potentially quicker resolution of property tax disputes; however, it may also present a substantial obstacle for some property owners who may struggle with upfront payments. Additionally, the bill incorporates provisions for property owners who claim an inability to pay, which includes the establishment of a process for exemption under certain circumstances.

Summary

SB1440, filed by Senator Ellis, proposes amendments to the Texas Tax Code regarding the requirement for property owners to prepay ad valorem taxes as a condition for filing certain motions or protests. The legislation aims to ensure that the appraisal review board can ascertain compliance with tax payment requirements before determining disputes related to property taxes. By mandating this prepayment, the bill seeks to streamline the process of tax dispute resolution and to clarify the conditions under which property owners can appeal appraisals or corrections to the appraisal roll.

Contention

Notable points of contention around SB1440 center on the fairness and accessibility of the prepayment requirement. Critics argue that requiring prepayment could dissuade property owners from contesting appraisals, thereby entrenching unfair property valuations. Proponents, on the other hand, assert that the prepayment clause is necessary to prevent frivolous disputes and to ensure that only serious cases proceed through the appraisal review process. The differing perspectives reflect broader concerns about property rights, taxation authority, and the balance of power between taxpayers and the appraisal system.