Texas 2017 - 85th Regular

Texas Senate Bill SB403

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

Caption

Relating to a temporary prohibition on increasing the market value of certain parcels of real property for ad valorem tax purposes following determination of a protest or appeal.

Impact

This bill is significant as it amends the Texas Tax Code, specifically impacting the way property appraisals are conducted in relation to tax assessments. By protecting property owners from immediate increases following successful tax appeals, SB403 could lead to a more predictable financial environment for taxpayers. This change may result in a decrease in revenue for local governments that rely heavily on property tax assessments for funding, particularly in cases where many properties experience reductions in value.

Summary

SB403 proposes a temporary prohibition on increasing the market value of certain residential and commercial properties for ad valorem tax purposes, specifically intended for properties that have undergone a significant reduction in value as determined by the chief appraiser. If the market value is reduced by at least 15% during a review, the property value cannot be increased for the next two tax years following the reduction. This provision aims to provide relief to property owners who successfully appeal their property assessments, thereby stabilizing their tax obligations during what can be a volatile period of valuation adjustments.

Contention

Potential points of contention surrounding SB403 may arise from the balance between taxpayer protection and local funding needs. Supporters of the bill, including property owners and advocacy groups, argue that it is essential for economic stability, especially in areas experiencing market fluctuations. Conversely, opponents may express concerns about the impact on local government budgets and their ability to provide essential services, pointing out that prolonged assessments at lower values could lead to fiscal shortfalls. The bill invokes discussion about the equitable distribution of tax burdens and the role of government in property valuation processes.

Companion Bills

No companion bills found.

Previously Filed As

TX SB880

Relating to the determination of the market value of property for ad valorem tax purposes.

TX HB2989

Relating to a limitation on increases in the appraised value of certain commercial real property for ad valorem tax purposes.

TX SB879

Relating to a limitation on increases in the appraised value of commercial real property for ad valorem tax purposes.

TX HB665

Relating to a limitation on increases in the appraised value of commercial real property for ad valorem tax purposes.

TX HB3336

Relating to a limitation on increases in the appraised value of commercial real property and single-family rental property for ad valorem tax purposes.

TX HB28

Relating to a limitation on increases in the appraised value of commercial real property and single-family rental property for ad valorem tax purposes.

TX HB30

Relating to a limitation on increases in the appraised value of commercial real property and single-family rental property for ad valorem tax purposes.

TX HB1189

Relating to limitations on the appraised value of certain real property in specified areas for ad valorem tax purposes.

TX SB178

Relating to a limitation on increases in the appraised value of real property other than a residence homestead for ad valorem tax purposes.

TX SB1019

Relating to a limitation on increases in the appraised value of real property other than a residence homestead for ad valorem tax purposes.

Similar Bills

CA AB2013

Property taxation: new construction: damaged or destroyed property.

CA AB1500

Property taxation: application of base year value: disaster relief.

CA AB245

Property taxation: application of base year value: disaster relief.

DC B25-0486

Uniform Community Property Disposition at Death Act of 2023

CA SB603

Property taxation: transfer of base year value: disaster relief.

CA SB964

Property tax: tax-defaulted property sales.

CA SB1091

Property taxation: transfer of base year value: disaster relief.

HI HB1398

Relating To Property.