Proposing a constitutional amendment to authorize the legislature to limit the maximum appraised value of real property for ad valorem tax purposes to 105 percent or less of the appraised value of the property for the preceding tax year.
If passed, this amendment will have significant implications for state laws concerning property taxation. It will amend Article VIII of the Texas Constitution to allow the legislature to establish limits on appraised property values specifically for ad valorem taxes. This change is expected to directly affect property owners by potentially reducing the rate at which their property taxes can increase year-over-year, thereby easing the financial burden on families and individuals who may be struggling with rising costs of living.
HJR17 proposes a constitutional amendment that would enable the Texas legislature to limit the maximum appraised value of real property for ad valorem tax purposes to 105 percent or less of the appraised value for the previous year. The intention behind this resolution is to provide taxpayers with a measure of financial relief by capping the increase in their property taxes based on assessed values. By making this amendment, the legislature aims to create a more predictable and manageable tax environment for property owners, especially in light of rising real estate markets.
While supporters of HJR17 argue that it offers crucial protections for property owners, particularly in areas experiencing rapid increases in property values, opponents express concerns that such limitations may restrict funding for essential public services, such as education and infrastructure. Critics point out that limiting revenue growth from property taxes could hinder local governments' ability to meet community needs, especially in urban areas where services are crucial for a growing population. Thus, the implementation of limiting appraised values is a balancing act between taxpayer relief and the financial health of local municipalities.