Texas 2021 - 87th Regular

Texas House Bill HB183

Caption

Relating to a limitation on the total amount of ad valorem taxes that a school district may impose on certain residence homesteads following a substantial school tax increase.

Impact

The introduction of HB183 is expected to have a substantial impact on state laws related to property taxation. By enacting this bill, Texas law would create a mechanism for protecting long-term residents from otherwise prohibitive school tax increases. This adjustment is particularly significant for individuals on fixed incomes, such as retirees, who may struggle to keep pace with rising property taxes. Additionally, the bill provides for a continuation of the tax limitation for surviving spouses under certain conditions, thereby offering ongoing financial stability for families who may face sudden financial uncertainty after the loss of a spouse.

Summary

HB183, known as the Act relating to a limitation on the total amount of ad valorem taxes that a school district may impose on certain residence homesteads following a substantial school tax increase, aims to provide tax relief for long-term residents. This bill stipulates that if the taxes on a residence homestead increase by 120% over a 15-year period, the school district is restricted from raising taxes on that property beyond specified limits in subsequent years. The legislation is designed to protect those who meet the qualifications of having a residence homestead for at least 15 consecutive years from facing significant tax increases that could arise due to market fluctuations or increased valuations.

Contention

Despite its proposed benefits, HB183 faces contention regarding its implications for school funding. Critics argue that limiting the ability of school districts to impose necessary tax increases could hinder funding for essential services within the education system. Proponents counter that the bill simply seeks balance by providing necessary protections for long-standing residents against sharp increases stemming from substantial school tax increases. Ultimately, discussions surrounding HB183 highlight broader concerns about taxation, community support for educational funding, and the economic feasibility of maintaining home ownership for long-term residents in the face of rising property taxes.

Latest HB183 Activity

Companion Bills

TX HJR16

Enabling for Proposing a constitutional amendment authorizing the legislature to limit the total amount of ad valorem taxes that a school district 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 15 consecutive tax years and the school taxes on the property increase by at least 120 percent during that period.

Similar Bills

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 HB3757

Relating to the authority of a taxing unit other than a school district, county, municipality, or junior college district to establish a limitation on the amount of ad valorem taxes that the taxing unit may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses and to the information required to be included in a tax bill.

TX HB982

Relating to the authority of a taxing unit other than a school district, county, municipality, or junior college district to establish a limitation on the amount of ad valorem taxes that the taxing unit may impose on the residence homesteads of certain low-income individuals who are disabled or elderly and their surviving spouses.