Texas 2019 - 86th Regular

Texas Senate Bill SB738 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R4285 LHC-D
2	2	By: Hughes S.B. No. 738
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the rate at which interest accrues in connection with
8	8	the deferral or abatement of the collection of ad valorem taxes on
9	9	certain residence homesteads.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 33.06(d), Tax Code, is amended to read as
12	12	follows:
13	13	(d) A tax lien remains on the property and interest
14	14	continues to accrue during the period collection of taxes is
15	15	deferred or abated under this section. The annual interest rate in
16	16	effect for each calendar year or portion of a calendar year during
17	17	the deferral or abatement period is the five-year Constant Maturity
18	18	Treasury Rate reported by the Federal Reserve Board as of January 1
19	19	of that year [five percent] instead of the rate provided by Section
20	20	33.01. Interest and penalties that accrued or that were incurred or
21	21	imposed under Section 33.01 or 33.07 before the date the individual
22	22	files the deferral affidavit under Subsection (b) or the date the
23	23	judgment abating the suit is entered, as applicable, are preserved.
24	24	A penalty under Section 33.01 is not incurred during a deferral or
25	25	abatement period. The additional penalty under Section 33.07 may
26	26	be imposed and collected only if the taxes for which collection is
27	27	deferred or abated remain delinquent on or after the 181st day after
28	28	the date the deferral or abatement period expires. A plea of
29	29	limitation, laches, or want of prosecution does not apply against
30	30	the taxing unit because of deferral or abatement of collection as
31	31	provided by this section.
32	32	SECTION 2. Section 33.065(g), Tax Code, is amended to read
33	33	as follows:
34	34	(g) A tax lien remains on the property and interest
35	35	continues to accrue during the period collection of delinquent
36	36	taxes is deferred or abated under this section. The annual interest
37	37	rate in effect for each calendar year or portion of a calendar year
38	38	during the deferral or abatement period is the five-year Constant
39	39	Maturity Treasury Rate reported by the Federal Reserve Board as of
40	40	January 1 of that year [eight percent] instead of the rate provided
41	41	by Section 33.01. Interest and penalties that accrued or that were
42	42	incurred or imposed under Section 33.01 or 33.07 before the date the
43	43	individual files the deferral affidavit under Subsection (c) or the
44	44	date the judgment abating the suit is entered, as applicable, are
45	45	preserved. A penalty is not incurred on the delinquent taxes for
46	46	which collection is deferred or abated during a deferral or
47	47	abatement period. The additional penalty under Section 33.07 may
48	48	be imposed and collected only if the delinquent taxes for which
49	49	collection is deferred or abated remain delinquent on or after the
50	50	91st day after the date the deferral or abatement period expires. A
51	51	plea of limitation, laches, or want of prosecution does not apply
52	52	against the taxing unit because of deferral or abatement of
53	53	collection as provided by this section.
54	54	SECTION 3. Sections 33.06(d) and 33.065(g), Tax Code, as
55	55	amended by this Act, apply to interest that accrued during a
56	56	deferral or abatement period under either of those sections before
57	57	September 1, 2019, if the tax remains unpaid as of that date, and
58	58	apply to interest that accrues during a deferral or abatement
59	59	period under either of those sections on or after that date,
60	60	regardless of whether the deferral or abatement period began before
61	61	September 1, 2019, or begins on or after that date.
62	62	SECTION 4. This Act takes effect September 1, 2019.