85S10432 LHC-D
By: Metcalf H.B. No. 158
A BILL TO BE ENTITLED
AN ACT
relating to the rate at which interest accrues in connection with
the deferral or abatement of the collection of ad valorem taxes on
an appreciating residence homestead.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 33.065(g), Tax Code, is amended to read
as follows:
(g) A tax lien remains on the property and interest
continues to accrue during the period collection of delinquent
taxes is deferred or abated under this section. The annual interest
rate during the deferral or abatement period is five [eight]
percent instead of the rate provided by Section 33.01. Interest and
penalties that accrued or that were incurred or imposed under
Section 33.01 or 33.07 before the date the individual files the
deferral affidavit under Subsection (c) or the date the judgment
abating the suit is entered, as applicable, are preserved. A
penalty is not incurred on the delinquent taxes for which
collection is deferred or abated during a deferral or abatement
period. The additional penalty under Section 33.07 may be imposed
and collected only if the delinquent taxes for which collection is
deferred or abated remain delinquent on or after the 91st day after
the date the deferral or abatement period expires. A plea of
limitation, laches, or want of prosecution does not apply against
the taxing unit because of deferral or abatement of collection as
provided by this section.
SECTION 2. This Act applies only to interest that accrues
during a deferral or abatement period on or after the effective date
of this Act, regardless of whether the deferral or abatement period
began before that date or begins on or after that date. Interest
that accrued during a deferral or abatement period before the
effective date of this Act is governed by the law in effect when the
interest accrued, and that law is continued in effect for that
purpose.
SECTION 3. This Act takes effect January 1, 2018.