84R1820 CJC-D
By: Lucio III H.B. No. 242
A BILL TO BE ENTITLED
AN ACT
relating to a local option exemption from ad valorem taxation by a
county of a portion of the value of the residence homestead of a
veteran who has been honorably discharged.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.13, Tax Code, is amended by amending
Subsection (i) and adding Subsection (u) to read as follows:
(i) The assessor and collector for a taxing unit may
disregard the exemptions authorized by Subsection (b), (c), (d),
[or] (n), or (u) [of this section] and assess and collect a tax
pledged for payment of debt without deducting the amount of the
exemption if:
(1) prior to adoption of the exemption, the unit
pledged the taxes for the payment of a debt; and
(2) granting the exemption would impair the obligation
of the contract creating the debt.
(u) A veteran of the United States armed services who has
been honorably discharged from the branch of service in which the
individual served is entitled to an exemption from taxation by a
county of $10,000, or a greater amount provided by action of the
commissioners court of the county as permitted by Section 1-b(p),
Article VIII, Texas Constitution, of the appraised value of the
veteran's residence homestead if the exemption is adopted by the
commissioners court of the county before July 1 in the manner
provided by law for official action by the commissioners court. A
veteran who qualifies for an exemption under this subsection and
under Subsection (d) may not receive both of those exemptions, but
is entitled to receive the exemption in the greater amount.
SECTION 2. Section 11.42(c), Tax Code, is amended to read as
follows:
(c) An exemption authorized by Section 11.13(c), [or] (d),
or (u) or 11.132 is effective as of January 1 of the tax year in
which the person qualifies for the exemption and applies to the
entire tax year.
SECTION 3. Section 26.10(b), Tax Code, is amended to read as
follows:
(b) If the appraisal roll shows that a residence homestead
exemption under Section 11.13(c), [or] (d), or (u) or 11.132
applicable to a property on January 1 of a year terminated during
the year and if the owner of the property qualifies a different
property for one of those residence homestead exemptions during the
same year, the tax due against the former residence homestead is
calculated by:
(1) subtracting:
(A) the amount of the taxes that otherwise would
be imposed on the former residence homestead for the entire year had
the owner qualified for the residence homestead exemption for the
entire year; from
(B) the amount of the taxes that otherwise would
be imposed on the former residence homestead for the entire year had
the owner not qualified for the residence homestead exemption
during the year;
(2) multiplying the remainder determined under
Subdivision (1) by a fraction, the denominator of which is 365 and
the numerator of which is the number of days that elapsed after the
date the exemption terminated; and
(3) adding the product determined under Subdivision
(2) and the amount described by Subdivision (1)(A).
SECTION 4. Section 26.112, Tax Code, is amended to read as
follows:
Sec. 26.112. CALCULATION OF TAXES ON RESIDENCE HOMESTEAD OF
CERTAIN PERSONS. (a) Except as provided by Section 26.10(b), if at
any time during a tax year property is owned by an individual who
qualifies for an exemption under Section 11.13(c), [or] (d), or (u)
or 11.132, the amount of the tax due on the property for the tax year
is calculated as if the individual qualified for the exemption on
January 1 and continued to qualify for the exemption for the
remainder of the tax year.
(b) If an individual qualifies for an exemption under
Section 11.13(c), [or] (d), or (u) or 11.132 with respect to the
property after the amount of the tax due on the property is
calculated and the effect of the qualification is to reduce the
amount of the tax due on the property, the assessor for each taxing
unit shall recalculate the amount of the tax due on the property and
correct the tax roll. If the tax bill has been mailed and the tax on
the property has not been paid, the assessor shall mail a corrected
tax bill to the person in whose name the property is listed on the
tax roll or to the person's authorized agent. If the tax on the
property has been paid, the tax collector for the taxing unit shall
refund to the person who paid the tax the amount by which the
payment exceeded the tax due.
SECTION 5. This Act applies only to ad valorem taxes imposed
for a tax year that begins on or after the effective date of this
Act.
SECTION 6. This Act takes effect January 1, 2016, but only
if the constitutional amendment proposed by the 84th Legislature,
Regular Session, 2015, authorizing a local option exemption from ad
valorem taxation by a county of a portion of the value of the
residence homestead of a veteran of the United States armed
services who has been honorably discharged is approved by the
voters. If that amendment is not approved by the voters, this Act
has no effect.