Texas 2021 - 87th Regular

Texas House Bill HB993 Compare Versions

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

Old	New	Differences
1	1	87R2685 SMT-F
2	2	By: Shine H.B. No. 993
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the establishment of a limitation on the total amount of
8	8	ad valorem taxes that certain taxing units may impose on the
9	9	residence homesteads of individuals who are disabled or elderly and
10	10	their surviving spouses.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Sections 11.261(b), (d), (e), (f), (g), (i),
13	13	(j), and (l), Tax Code, are amended to read as follows:
14	14	(b) The tax officials shall appraise the property to which
15	15	this section [the limitation] applies and calculate taxes as on
16	16	other property, but if the tax so calculated exceeds the limitation
17	17	required [provided] by this section, the tax imposed is the amount
18	18	of the tax as limited by this section, except as otherwise provided
19	19	by this section. A [The] county, municipality, or junior college
20	20	district may not increase the total annual amount of ad valorem
21	21	taxes the county, municipality, or junior college district imposes
22	22	on the residence homestead of an individual who is [a] disabled
23	23	[individual] or is [an individual] 65 years of age or older above
24	24	the amount of the taxes the county, municipality, or junior college
25	25	district imposed on the residence homestead in the first tax year[,
26	26	other than a tax year preceding the tax year in which the county,
27	27	municipality, or junior college district established the
28	28	limitation described by Subsection (a),] in which the individual
29	29	qualified that residence homestead for the exemption provided by
30	30	Section 11.13(c) for an individual who is [a] disabled [individual]
31	31	or is [an individual] 65 years of age or older. If the individual
32	32	qualified that residence homestead for the exemption after the
33	33	beginning of that first year and the residence homestead remains
34	34	eligible for the exemption for the next year, and if the county,
35	35	municipal, or junior college district taxes imposed on the
36	36	residence homestead in the next year are less than the amount of
37	37	taxes imposed in that first year, a county, municipality, or junior
38	38	college district may not subsequently increase the total annual
39	39	amount of ad valorem taxes it imposes on the residence homestead
40	40	above the amount it imposed on the residence homestead in the year
41	41	immediately following the first year[, other than a tax year
42	42	preceding the tax year in which the county, municipality, or junior
43	43	college district established the limitation described by
44	44	Subsection (a),] for which the individual qualified that residence
45	45	homestead for the exemption.
46	46	(d) The [A] limitation on county, municipal, or junior
47	47	college district tax increases required [provided] by this section
48	48	expires if on January 1:
49	49	(1) none of the owners of the structure who qualify for
50	50	the exemption provided by Section 11.13(c) for an individual who is
51	51	[a] disabled [individual] or is [an individual] 65 years of age or
52	52	older and who owned the structure when the limitation [provided by
53	53	this section] first took effect is using the structure as a
54	54	residence homestead; or
55	55	(2) none of the owners of the structure qualifies for
56	56	the exemption provided by Section 11.13(c) for an individual who is
57	57	[a] disabled [individual] or is [an individual] 65 years of age or
58	58	older.
59	59	(e) If the appraisal roll provides for taxation of appraised
60	60	value for a prior year because a residence homestead exemption for
61	61	an individual who is disabled [individuals] or is [individuals] 65
62	62	years of age or older was erroneously allowed, the tax assessor for
63	63	the applicable county, municipality, or junior college district
64	64	shall add, as back taxes due as provided by Section 26.09(d), the
65	65	positive difference, if any, between the tax that should have been
66	66	imposed for that year and the tax that was imposed because of the
67	67	provisions of this section.
68	68	(f) The [A] limitation on tax increases required [provided]
69	69	by this section does not expire because the owner of an interest in
70	70	the structure conveys the interest to a qualifying trust as defined
71	71	by Section 11.13(j) if the owner or the owner's spouse is a trustor
72	72	of the trust and is entitled to occupy the structure.
73	73	(g) Except as provided by Subsection (c), if an individual
74	74	who receives a limitation on county, municipal, or junior college
75	75	district tax increases required [provided] by this section
76	76	subsequently qualifies a different residence homestead in the same
77	77	county, municipality, or junior college district for an exemption
78	78	under Section 11.13, the county, municipality, or junior college
79	79	district may not impose ad valorem taxes on the subsequently
80	80	qualified homestead in a year in an amount that exceeds the amount
81	81	of taxes the county, municipality, or junior college district would
82	82	have imposed on the subsequently qualified homestead in the first
83	83	year in which the individual receives that exemption for the
84	84	subsequently qualified homestead had the limitation on tax
85	85	increases required [provided] by this section not been in effect,
86	86	multiplied by a fraction the numerator of which is the total amount
87	87	of taxes the county, municipality, or junior college district
88	88	imposed on the former homestead in the last year in which the
89	89	individual received that exemption for the former homestead and the
90	90	denominator of which is the total amount of taxes the county,
91	91	municipality, or junior college district would have imposed on the
92	92	former homestead in the last year in which the individual received
93	93	that exemption for the former homestead had the limitation on tax
94	94	increases required [provided] by this section not been in effect.
95	95	(i) If an individual who qualifies for the [a] limitation on
96	96	county, municipal, or junior college district tax increases under
97	97	this section dies, the surviving spouse of the individual is
98	98	entitled to the limitation on taxes imposed by the county,
99	99	municipality, or junior college district on the residence homestead
100	100	of the individual if:
101	101	(1) the surviving spouse is disabled or is 55 years of
102	102	age or older when the individual dies; and
103	103	(2) the residence homestead of the individual:
104	104	(A) is the residence homestead of the surviving
105	105	spouse on the date that the individual dies; and
106	106	(B) remains the residence homestead of the
107	107	surviving spouse.
108	108	(j) If an individual who is 65 years of age or older and
109	109	qualifies for the [a] limitation on county, municipal, or junior
110	110	college district tax increases for the elderly under this section
111	111	dies in the first year in which the individual qualified for the
112	112	limitation and the individual first qualified for the limitation
113	113	after the beginning of that year, except as provided by Subsection
114	114	(k), the amount to which the surviving spouse's county, municipal,
115	115	or junior college district taxes are limited under Subsection (i)
116	116	is the amount of taxes imposed by the county, municipality, or
117	117	junior college district, as applicable, on the residence homestead
118	118	in that year determined as if the individual qualifying for the
119	119	exemption had lived for the entire year.
120	120	(l) Notwithstanding Subsection (d), the [a] limitation on
121	121	county, municipal, or junior college district tax increases
122	122	required [provided] by this section does not expire if the owner of
123	123	the structure qualifies for an exemption under Section 11.13 under
124	124	the circumstances described by Section 11.135(a).
125	125	SECTION 2. Section 11.261(a), Tax Code, is repealed.
126	126	SECTION 3. This Act applies only to ad valorem taxes imposed
127	127	for a tax year beginning on or after the effective date of this Act.
128	128	SECTION 4. This Act takes effect January 1, 2022, but only
129	129	if the constitutional amendment to establish a limitation on the
130	130	total amount of ad valorem taxes that certain political
131	131	subdivisions may impose on the residence homesteads of persons who
132	132	are disabled or elderly and their surviving spouses is approved by
133	133	the voters. If that amendment is not approved by the voters, this
134	134	Act has no effect.