Texas 2021 - 87th Regular

Texas House Bill HB3359 Compare Versions

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

Old	New	Differences
1	1	87R12041 TJB-D
2	2	By: Rodriguez H.B. No. 3359
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of the governing body of a taxing unit
8	8	other than a school district to adopt an exemption from ad valorem
9	9	taxation of a portion, expressed as a dollar amount, of the
10	10	appraised value of an individual's residence homestead and the
11	11	treatment of such an exemption in the calculation of certain ad
12	12	valorem tax rates.
13	13	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	14	SECTION 1. Section 11.13, Tax Code, is amended by amending
15	15	Subsection (i) and adding Subsections (s) and (t) to read as
16	16	follows:
17	17	(i) The assessor and collector for a taxing unit may
18	18	disregard the exemptions authorized by Subsection (b), (c), (d),
19	19	[or] (n), or (s) [of this section] and assess and collect a tax
20	20	pledged for payment of debt without deducting the amount of the
21	21	exemption if:
22	22	(1) prior to adoption of the exemption, the unit
23	23	pledged the taxes for the payment of a debt; and
24	24	(2) granting the exemption would impair the obligation
25	25	of the contract creating the debt.
26	26	(s) In addition to any other exemptions provided by this
27	27	section, an individual is entitled to an exemption from taxation by
28	28	a taxing unit other than a school district of a portion of the
29	29	appraised value of the individual's residence homestead if the
30	30	exemption is adopted by the governing body of the taxing unit before
31	31	July 1 in the manner provided by law for official action by the
32	32	body. The amount of the exemption is $5,000 of the appraised value
33	33	of the residence homestead, except that if the average market value
34	34	of residence homesteads in the taxing unit in the tax year in which
35	35	the exemption is adopted exceeds $25,000, as calculated based on
36	36	the appraisal records prepared by the chief appraiser of each
37	37	appraisal district in which the taxing unit participates, the
38	38	governing body may authorize an exemption in a larger dollar amount
39	39	not to exceed an amount equal to 20 percent of the average market
40	40	value of residence homesteads in the taxing unit in the tax year in
41	41	which the exemption is adopted.
42	42	(t) This subsection applies only to a taxing unit the
43	43	governing body of which has ceased granting an exemption under
44	44	Subsection (n) and has adopted an exemption under Subsection (s).
45	45	An individual who would have been entitled to an exemption from
46	46	taxation by the taxing unit under Subsection (n) had the governing
47	47	body not ceased granting an exemption under that subsection is
48	48	entitled to continue to receive an exemption under that subsection
49	49	in lieu of the exemption under Subsection (s) if the individual
50	50	otherwise qualifies for the exemption under Subsection (n) and the
51	51	amount of the exemption under that subsection exceeds the amount of
52	52	the exemption under Subsection (s). The exemption applies only to
53	53	property for which the individual received an exemption under
54	54	Subsection (n) in the last year in which the governing body granted
55	55	an exemption under that subsection. The exemption expires in the
56	56	event of a change in ownership of the property or, if the property
57	57	is owned by a qualifying trust and the trustor of the trust or a
58	58	beneficiary of the trust has the right to use and occupy the
59	59	property as the trustor's or beneficiary's principal residential
60	60	property, there is a change in the trustor or beneficiary of the
61	61	trust, respectively.
62	62	SECTION 2. Section 25.23(a), Tax Code, is amended to read as
63	63	follows:
64	64	(a) After submission of appraisal records, the chief
65	65	appraiser shall prepare supplemental appraisal records listing:
66	66	(1) each taxable property the chief appraiser
67	67	discovers that is not included in the records already submitted,
68	68	including property that was omitted from an appraisal roll in a
69	69	prior tax year;
70	70	(2) property on which the appraisal review board has
71	71	not determined a protest at the time of its approval of the
72	72	appraisal records; and
73	73	(3) property that qualifies for an exemption under
74	74	Section 11.13(n) or (s) that was adopted by the governing body of a
75	75	taxing unit after the date the appraisal records were submitted.
76	76	SECTION 3. Sections 26.012(6) and (15), Tax Code, are
77	77	amended to read as follows:
78	78	(6) "Current total value" means the total taxable
79	79	value of property listed on the appraisal roll for the current year,
80	80	including all appraisal roll supplements and corrections as of the
81	81	date of the calculation, less the taxable value of property
82	82	exempted for the current tax year for the first time under Section
83	83	11.31 or 11.315, except that:
84	84	(A) the current total value for a school district
85	85	excludes:
86	86	(i) the total value of homesteads that
87	87	qualify for a tax limitation as provided by Section 11.26; and
88	88	(ii) new property value of property that is
89	89	subject to an agreement entered into under Chapter 313; [and]
90	90	(B) the current total value for a county,
91	91	municipality, or junior college district excludes the total value
92	92	of homesteads that qualify for a tax limitation provided by Section
93	93	11.261; and
94	94	(C) the current total value for a taxing unit the
95	95	governing body of which has adopted an exemption under Section
96	96	11.13(s) includes, with regard to homesteads other than those
97	97	described by Paragraph (B) of this subdivision, the total dollar
98	98	amount of the exemptions granted under that subsection.
99	99	(15) "Lost property levy" means the amount of taxes
100	100	levied in the preceding year on property value that was taxable in
101	101	the preceding year but is not taxable in the current year because
102	102	the property is exempt in the current year under a provision of this
103	103	code other than Section 11.13(s), 11.251, 11.253, or 11.35, the
104	104	property has qualified for special appraisal under Chapter 23 in
105	105	the current year, or the property is located in territory that has
106	106	ceased to be a part of the taxing unit since the preceding year.
107	107	SECTION 4. This Act applies only to ad valorem taxes imposed
108	108	for a tax year that begins on or after the effective date of this
109	109	Act.
110	110	SECTION 5. This Act takes effect January 1, 2022, but only
111	111	if the constitutional amendment proposed by the 87th Legislature,
112	112	Regular Session, 2021, authorizing the governing body of a
113	113	political subdivision other than a school district to adopt an
114	114	exemption from ad valorem taxation of a portion, expressed as a
115	115	dollar amount, of the market value of an individual's residence
116	116	homestead is approved by the voters. If that amendment is not
117	117	approved by the voters, this Act has no effect.