Texas House Bill HB2121

Texas 2019 - 86th Regular

Caption

Relating to the appraisal for ad valorem tax purposes of real property that includes improvements used for the noncommercial production of food for personal consumption.

Impact

By excluding the value of improvements used for noncommercial food production from appraisal calculations, the bill seeks to lessen the financial burden on individuals who cultivate food on their properties. This could potentially stimulate greater engagement in sustainable agricultural practices among Texas residents, promoting health and self-reliance. The bill takes effect for tax years beginning January 1, 2020, meaning it could immediately affect property owners who utilize their land for personal food production.

Summary

House Bill 2121 proposes amendments to the Texas Tax Code, particularly focusing on the appraisal of real property. The bill specifies that improvements made on properties used for the noncommercial production of food for personal consumption will be excluded from the taxable value of real property. This aims to provide tax relief for homeowners or landowners engaged in growing food for personal use, encouraging local food production and self-sufficiency.

Contention

While the bill appears primarily beneficial, discussions surrounding it could represent concern among some lawmakers regarding the implications of property tax revenue loss for local governments. Critics may argue that such exclusions could set a precedent for further exemptions, challenging the overall revenue system for public services. Moreover, the definition of ‘improvements’ and what constitutes ‘noncommercial production’ might lead to challenges in enforcement and interpretation, potentially inviting disputes over compliance and qualifications.