| 1 | 1 | | 84R8097 CJC-D |
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| 2 | 2 | | By: Sheets H.B. No. 2043 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to a local option exemption from ad valorem taxation of a |
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| 8 | 8 | | portion of the appraised value of real property of a business that |
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| 9 | 9 | | employs honorably discharged veterans. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by |
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| 12 | 12 | | adding Section 11.37 to read as follows: |
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| 13 | 13 | | Sec. 11.37. CERTAIN BUSINESSES EMPLOYING VETERANS. (a) In |
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| 14 | 14 | | this section: |
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| 15 | 15 | | (1) "Qualifying business" means a business located in |
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| 16 | 16 | | this state that on or after January 1, 2016: |
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| 17 | 17 | | (A) hires at least one veteran; and |
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| 18 | 18 | | (B) provides full-time employment to that |
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| 19 | 19 | | veteran for a period of at least 12 consecutive months. |
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| 20 | 20 | | (2) "Veteran" means an individual who: |
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| 21 | 21 | | (A) has served on active duty in the armed forces |
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| 22 | 22 | | of the United States; and |
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| 23 | 23 | | (B) was honorably discharged from military |
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| 24 | 24 | | service. |
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| 25 | 25 | | (b) Subject to Subsection (d), a person is entitled to an |
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| 26 | 26 | | exemption from taxation of a portion, expressed as a dollar amount, |
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| 27 | 27 | | of the appraised value of real property the person owns that is |
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| 28 | 28 | | reasonably necessary for and used by the person in the operation of |
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| 29 | 29 | | a qualifying business if the exemption is adopted by: |
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| 30 | 30 | | (1) the governing body of the taxing unit; or |
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| 31 | 31 | | (2) a favorable vote of the majority of the qualified |
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| 32 | 32 | | voters of the taxing unit at an election called by the governing |
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| 33 | 33 | | body. |
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| 34 | 34 | | (c) The governing body of a taxing unit shall call an |
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| 35 | 35 | | election under Subsection (b)(2) on the petition of at least 20 |
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| 36 | 36 | | percent of the number of qualified voters who voted in the preceding |
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| 37 | 37 | | election of the taxing unit. |
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| 38 | 38 | | (d) The amount of the exemption adopted as provided by |
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| 39 | 39 | | Subsection (b) may not exceed $15,000 of the appraised value of the |
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| 40 | 40 | | property for each veteran employed by the qualifying business. |
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| 41 | 41 | | (e) The chief appraiser may require a person seeking an |
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| 42 | 42 | | exemption under this section to present additional information |
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| 43 | 43 | | establishing eligibility for the exemption. |
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| 44 | 44 | | (f) The governing body of the taxing unit may repeal the |
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| 45 | 45 | | exemption in the manner provided by law for official action by the |
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| 46 | 46 | | commissioners court. |
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| 47 | 47 | | SECTION 2. This Act applies only to ad valorem taxes imposed |
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| 48 | 48 | | for a tax year that begins on or after the effective date of this |
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| 49 | 49 | | Act. |
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| 50 | 50 | | SECTION 3. This Act takes effect January 1, 2016, but only |
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| 51 | 51 | | if the constitutional amendment proposed by the 84th Legislature, |
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| 52 | 52 | | Regular Session, 2015, authorizing the governing body of a |
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| 53 | 53 | | political subdivision to adopt a local option exemption from ad |
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| 54 | 54 | | valorem taxation of a portion, expressed as a dollar amount, of the |
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| 55 | 55 | | market value of real property of a business that employs honorably |
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| 56 | 56 | | discharged veterans is approved by the voters. If that amendment is |
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| 57 | 57 | | not approved by the voters, this Act has no effect. |
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