Texas House Bill HJR65

Texas 2019 - 86th Regular

Caption

Proposing a constitutional amendment authorizing the legislature to provide for the assessment of ad valorem taxes on real property on the basis of the lesser of the appraised value of the property or the average appraised value of the property over a specified time period and authorizing exceptions to the assessment of those taxes based on that method.

Impact

If enacted, HJR65 would amend Article VIII of the Texas Constitution, specifically concerning property tax assessments. The proposed change could lead to a more predictable tax environment for property owners, particularly in areas where property values may vary significantly from year to year. Additionally, it could alleviate sudden financial burdens on property owners whose property values decline, as they would not be penalized with higher tax assessments based on abnormal spikes in property value assessments.

Summary

HJR65 proposes a constitutional amendment that would allow the Texas legislature to assess ad valorem taxes on real property based on the lesser of the appraised value of the property for the current year or the average appraised value over the preceding five years. The amendment specifically allows for exceptions in assessing these taxes, particularly if the appraised value decreases significantly in any given year. This approach is expected to provide more stability in tax assessments, potentially helping property owners manage fluctuations in appraised values effectively.

Contention

While supporters of HJR65 argue that it is a necessary measure for fairness and stability in property taxation, there may be contention regarding the implementation of exceptions and how the average appraised values are calculated. Critics might express concerns that such exemptions could lead to inconsistencies or inequities in tax burdens across different property owners if not carefully managed. Furthermore, the potential effect on local government revenues could prompt discussions about funding for public services depending on property tax revenues.