By: Phelan, Springer, Raymond, Murphy, H.B. No. 155
Guillen, et al.
A BILL TO BE ENTITLED
AN ACT
relating to the authority of an appraisal review board to direct
changes in the appraisal roll and related appraisal records if a
residence homestead is sold for less than the appraised value.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 25.25, Tax Code, is amended by adding
Subsection (c-1) and amending Subsections (e), (l), and (m) to read
as follows:
(c-1) The appraisal review board, on motion of the chief
appraiser or of a property owner, may direct by written order
changes in the appraisal roll or related records as provided by this
subsection. The board may order the appraised value of the owner's
property in the current tax year and either of the two preceding tax
years to be changed to the sales price of the property in the
current tax year if, for each tax year for which the change is to be
made:
(1) the property qualifies as that owner's residence
homestead;
(2) the sales price of the property is at least 10
percent less than the appraised value of the property or reflects an
error in the square footage of the property described in the
appraisal roll; and
(3) the board makes a finding that the sales price
reflects the market value of the property.
(e) If the chief appraiser and the property owner do not
agree to the correction before the 15th day after the date the
motion is filed, a party bringing a motion under Subsection (c),
(c-1), or (d) is entitled on request to a hearing on and a
determination of the motion by the appraisal review board. A party
bringing a motion under this section must describe the error or
errors or other matter, including an error in the square footage of
the property described in the appraisal roll, that the motion is
seeking to correct. Not later than 15 days before the date of the
hearing, the board shall deliver written notice of the date, time,
and place of the hearing to the chief appraiser, the property owner,
and the presiding officer of the governing body of each taxing unit
in which the property is located. The chief appraiser, the property
owner, and each taxing unit are entitled to present evidence and
argument at the hearing and to receive written notice of the board's
determination of the motion. A property owner who files the motion
must comply with the payment requirements of Section 25.26 or
forfeit the right to a final determination of the motion.
(l) A motion may be filed under Subsection (c) or (c-1)
regardless of whether, for a tax year to which the motion relates,
the owner of the property protested under Chapter 41 an action
relating to the value of the property that is the subject of the
motion.
(m) The hearing on a motion under Subsection (c), (c-1), or
(d) shall be conducted in the manner provided by Subchapter C,
Chapter 41.
SECTION 2. Effective January 1, 2018, Section 25.25(e), Tax
Code, as amended by S.B. 1767, Acts of the 85th Legislature, Regular
Session, 2017, is amended to read as follows:
(e) If the chief appraiser and the property owner do not
agree to the correction before the 15th day after the date the
motion is filed, a party bringing a motion under Subsection (c),
(c-1), or (d) is entitled on request to a hearing on and a
determination of the motion by the appraisal review board. A party
bringing a motion under this section must describe the error or
errors or other matter, including an error in the square footage of
the property described in the appraisal roll, that the motion is
seeking to correct. Not later than 15 days before the date of the
hearing, the board shall deliver written notice of the date, time,
and place of the hearing to the chief appraiser, the property owner,
and the presiding officer of the governing body of each taxing unit
in which the property is located. The chief appraiser, the property
owner, and each taxing unit are entitled to present evidence and
argument at the hearing and to receive written notice of the board's
determination of the motion. The property owner is entitled to
elect to present the owner's evidence and argument before, after,
or between the cases presented by the chief appraiser and each
taxing unit. A property owner who files the motion must comply with
the payment requirements of Section 25.26 or forfeit the right to a
final determination of the motion.
SECTION 3. The changes in law made by this Act apply only to
a motion to correct an appraisal roll filed on or after the
effective date of this Act. A motion to correct an appraisal roll
filed before the effective date of this Act is governed by the law
in effect on the date the motion was filed, and the former law is
continued in effect for that purpose.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect on the 91st day after the last day of the
legislative session.