By: West S.B. No. 193
(Otto)
A BILL TO BE ENTITLED
AN ACT
relating to the exemption from ad valorem taxation of certain
property used to provide low-income and moderate-income housing.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subsection (g), Section 11.182, Tax Code, is
amended to read as follows:
(g) To receive an exemption under Subsection (b) or (f), an
organization must annually:
(1) have an audit prepared by an independent auditor
that includes[. The audit must include] a detailed report on the
organization's sources and uses of funds; and
(2) deliver a[. A] copy of the audit [must be
delivered] to the Texas Department of Housing and Community Affairs
and to the chief appraiser of the appraisal district in which the
property subject to the exemption is located.
SECTION 2. Subsections (b) and (c), Section 11.1826, Tax
Code, are amended to read as follows:
(b) Property may not be exempted under Section 11.1825 for a
tax year unless the organization owning or controlling the owner of
the property:
(1) has an audit prepared by an independent auditor
covering the organization's most recent fiscal year that:
(A) is[. The audit must be] conducted in
accordance with generally accepted accounting principles; and
(B) includes[. The audit must include] an
opinion on whether:
(i) [(1)] the financial statements of the
organization present fairly, in all material respects and in
conformity with generally accepted accounting principles, the
financial position, changes in net assets, and cash flows of the
organization; and
(ii) [(2)] the organization has complied
with all of the terms and conditions of the exemption under Section
11.1825; and
(2) delivers a copy of the audit in accordance with
Subsection (c).
(c) Not later than the 180th day after the last day of the
organization's most recent fiscal year, the organization must
deliver a copy of the audit to the department and the chief
appraiser of the appraisal district in which the property is
located. The chief appraiser may extend the deadline for good cause
shown.
SECTION 3. This Act takes effect January 1, 2014.