84R1527 TJB-F
By: Rodriguez of Travis H.B. No. 490
A BILL TO BE ENTITLED
AN ACT
relating to the authority of the governing body of a taxing unit
that adopts an exemption from ad valorem taxation of a percentage of
the appraised value of an individual's residence homestead to set a
limit on the dollar amount of the exemption to which an individual
is entitled in a tax year.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.13(n), Tax Code, is amended to read as
follows:
(n) In addition to any other exemptions provided by this
section, an individual is entitled to an exemption from taxation by
a taxing unit of a percentage of the appraised value of the
individual's [his] residence homestead if the exemption is adopted
by the governing body of the taxing unit before July 1 in the manner
provided by law for official action by the body. The percentage
adopted by the governing body may not exceed 20 percent. If the
percentage set by the governing body [taxing unit] produces an
exemption in a tax year of less than $5,000 when applied to a
particular residence homestead, the individual is entitled to an
exemption of $5,000 of the appraised value. A governing body that
adopts an exemption under this subsection may by official action
taken before July 1 provide that if the percentage set by the
governing body produces an exemption in a tax year of more than a
dollar amount specified by the governing body when applied to a
particular residence homestead, the owner of the homestead is
entitled to an exemption of the dollar amount of the appraised value
specified by the governing body [The percentage adopted by the
taxing unit may not exceed 20 percent].
SECTION 2. 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 3. This Act takes effect January 1, 2016, but only
if the constitutional amendment proposed by the 84th Legislature,
Regular Session, 2015, authorizing the governing body of a
political subdivision that adopts an exemption from ad valorem
taxation of a percentage of the market value of an individual's
residence homestead to set a limit on the dollar amount of the
exemption to which an individual is entitled in a tax year is
approved by the voters. If that amendment is not approved by the
voters, this Act has no effect.