Texas 2015 - 84th Regular

Texas House Bill HB3420

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the exemption from ad valorem taxation for property used by certain nonprofit community business organizations to provide services to aid in the economic development of local communities.

Impact

If enacted, HB3420 could significantly impact how local governments approach taxation for nonprofit organizations that contribute to economic growth in their areas. By exempting eligible nonprofits from ad valorem taxes, this bill would effectively lower their operating costs, thereby enhancing their ability to provide services and support to local community initiatives. This could lead to a more thriving environment for local businesses and community projects, fostering a stronger economic landscape at a local level.

Summary

House Bill 3420 aims to provide a property tax exemption for certain nonprofit community business organizations that focus on aiding economic development within their local communities. Specifically, the bill amends existing tax codes to allow for this exemption under the conditions that the nonprofit has been operational for at least five years and maintains a membership structure, emphasizing its community engagement and local focus. The targeted organizations must be predominantly supported by membership dues and engage primarily in activities related to community service and development.

Contention

Despite its potential benefits, the bill may also face contention. Critics might argue that providing tax exemptions could set a precedent that diminishes tax revenues for local governments, potentially impacting their overall budget and services. There could be concerns relating to the criteria for determining which organizations qualify for the exemption, with opponents suggesting that it may favor certain groups over others, thereby raising questions about fairness and equity in public funding.

Last_action

The bill was last referred to the Ways & Means Committee on March 17, 2015, and it remains in the committee status, indicating that further discussions and evaluations are needed before any voting can take place.

Companion Bills

No companion bills found.

Previously Filed As

TX HB741

Relating to an exemption from ad valorem taxation of property owned by a charitable organization and used to provide child-care services.

TX SB2352

Relating to the exemption from ad valorem taxation of property owned by a charitable organization that provides a meeting place and support services for organizations that provide assistance to persons with substance use disorders and their families.

TX SB719

Relating to an exemption from ad valorem taxation of property owned by a charitable organization that provides services related to the placement of a child in a foster or adoptive home.

TX HB3691

Relating to the exemption from ad valorem taxation of certain property owned by a charitable organization that is engaged in providing housing and related facilities and services to persons who are at least 62 years of age.

TX SB1255

Relating to the exemption from ad valorem taxation of certain property owned by a charitable organization that is engaged in providing housing and related facilities and services to persons who are at least 62 years of age.

TX HB2987

Relating to the exemption of tangible personal property from ad valorem taxation; making conforming changes.

TX SB1789

Relating to the exemption of tangible personal property from ad valorem taxation; making conforming changes.

TX HB581

Relating to an exemption from ad valorem taxation of real property owned by a charitable organization for the purpose of renting the property at below-market rates to low-income and moderate-income households.

TX SB2398

Relating to an exemption from ad valorem taxation of real property owned by a charitable organization for the purpose of renting the property at below-market rates to low-income and moderate-income households.

TX SB1774

Relating to the exemption from ad valorem taxation of real property owned by certain charitable organizations.

Similar Bills

No similar bills found.