TX
Texas House Bill HB122

Texas 2021 - 87th Regular

Texas House Bill HB122

Caption

Relating to an exemption from ad valorem taxation of the total appraised value of the residence homestead of an unpaid caregiver of an individual who is eligible to receive long-term services and supports under the Medicaid program while the individual is on a waiting list for the services and supports.

Impact

Should this bill pass, it will significantly impact Texas tax laws regarding property inherited or maintained by unpaid caregivers. The exemption would be particularly beneficial for those caring for family members or friends who qualify for Medicaid but cannot yet access the necessary long-term services. It offers support to these caregivers, as their caregiving often limits their own earning potential and financial security. On a broader scale, it may also influence the fiscal environment of local governments, which depend on property taxes for funding essential services, needing to adjust their budgets accordingly.

Summary

House Bill 122 proposes an exemption from ad valorem taxation for the total appraised value of the residence homestead of unpaid caregivers. Specifically, this applies to caregivers who provide care to individuals eligible for long-term services and supports under the Medicaid program while these individuals are on a waiting list for such services. It aims to alleviate the financial burden on caregivers who often play a crucial role in supporting individuals with significant needs, making it easier for them to manage their responsibilities without the additional stress of property tax obligations.

Contention

Notable points of contention surrounding HB 122 could arise from the implications of reducing property tax revenues for local governments. Critics might argue that such tax exemptions, while beneficial for individual caregivers, could place additional strain on municipal budgets and reduce funding for public services. Moreover, the bill requires the approval of a constitutional amendment, which could spark further debate regarding the legislative process and public voting on tax-related matters. Establishing clear criteria for who qualifies as a caregiver and the financial ramifications thereof may also lead to discussions about fairness and equity in tax law.

Latest HB122 Activity

Companion Bills

TX HJR14

Enabling for Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation the total assessed value of the residence homestead of an unpaid caregiver of an individual who is eligible to receive long-term services and supports under the Medicaid program while the individual is on a waiting list for the services and supports.

Similar Bills

TX HJR87

Proposing a constitutional amendment authorizing the legislature to limit the maximum appraised value of residential real property for ad valorem tax purposes to 105 percent or more of the appraised value of the property for the preceding tax year, to exempt from ad valorem taxation the total appraised value of property purchased by an individual for the first tax year the individual qualifies the property as the individual's residence homestead if the property is the individual's first residence homestead and has an appraised value of less than $300,000, and to limit the total amount of ad valorem taxes that a political subdivision may impose on the residence homestead of an individual and the surviving spouse of the individual if the individual qualifies the property as the individual's residence homestead for at least 25 consecutive tax years.

IN SB0001

Local government finance.

IN SB0006

Property tax deferral program.

TX HJR20

Proposing a constitutional amendment authorizing the legislature to limit the maximum appraised value of residential real property for ad valorem tax purposes to 105 percent or more of the appraised value of the property for the preceding tax year, to exempt from ad valorem taxation the total appraised value of property purchased by an individual for the first tax year the individual qualifies the property as the individual's residence homestead if the property is the individual's first residence homestead and has an appraised value of less than $300,000, and to limit the total amount of ad valorem taxes that a political subdivision may impose on the residence homestead of an individual and the surviving spouse of the individual if the individual qualifies the property as the individual's residence homestead for at least 25 consecutive tax years.

TX HJR19

Proposing a constitutional amendment authorizing the legislature to limit the maximum appraised value of residential real property for ad valorem tax purposes to 105 percent or more of the appraised value of the property for the preceding tax year, to exempt from ad valorem taxation the total appraised value of property purchased by an individual for the first tax year the individual qualifies the property as the individual's residence homestead if the property is the individual's first residence homestead and has an appraised value of less than $300,000, and to limit the total amount of ad valorem taxes that a political subdivision may impose on the residence homestead of an individual and the surviving spouse of the individual if the individual qualifies the property as the individual's residence homestead for at least 25 consecutive tax years.

IN HB1028

Homestead property tax freeze.

TX HB1648

Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.

TX HB4478

Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.