Texas 2021 - 87th 2nd C.S.

Texas House Bill HB4 Compare Versions

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

Old	New	Differences
1	1	87S20016 TJB/MEW-D
2	2	By: Meyer H.B. No. 4
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of a person who acquires a residence
8	8	homestead to receive an ad valorem tax exemption for the homestead
9	9	in the year in which the property is acquired and to the protection
10	10	of school districts against the resulting loss in revenue.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Section 11.42, Tax Code, is amended by adding
13	13	Subsection (f) to read as follows:
14	14	(f) A person who acquires property after January 1 of a tax
15	15	year may receive an exemption authorized by Section 11.13, other
16	16	than an exemption authorized by Section 11.13(c) or (d), for the
17	17	applicable portion of that tax year immediately on qualification
18	18	for the exemption if the preceding owner did not receive the same
19	19	exemption for that tax year.
20	20	SECTION 2. Section 11.43(d), Tax Code, is amended to read as
21	21	follows:
22	22	(d) To receive an exemption the eligibility for which is
23	23	determined by the claimant's qualifications on January 1 of the tax
24	24	year, a person required to claim an exemption must file a completed
25	25	exemption application form before May 1 and must furnish the
26	26	information required by the form. A person who after January 1 of a
27	27	tax year acquires property that qualifies for an exemption covered
28	28	by Section 11.42(d) or (f) must apply for the exemption for the
29	29	applicable portion of that tax year before the first anniversary of
30	30	the date the person acquires the property. For good cause shown the
31	31	chief appraiser may extend the deadline for filing an exemption
32	32	application by written order for a single period not to exceed 60
33	33	days.
34	34	SECTION 3. Section 23.23, Tax Code, is amended by adding
35	35	Subsection (c-1) to read as follows:
36	36	(c-1) For purposes of Subsection (c), an owner who receives
37	37	an exemption as provided by Section 11.42(f) is considered to have
38	38	qualified the property for the exemption as of January 1 of the tax
39	39	year following the tax year in which the owner acquired the
40	40	property.
41	41	SECTION 4. Chapter 26, Tax Code, is amended by adding
42	42	Section 26.1115 to read as follows:
43	43	Sec. 26.1115. CALCULATION OF TAXES ON RESIDENCE HOMESTEAD
44	44	GENERALLY. (a) If an individual receives one or more exemptions
45	45	under Section 11.13 for a portion of a tax year as provided by
46	46	Section 11.42(f), except as provided by Subsection (b) of this
47	47	section, the amount of tax due on the property for that year is
48	48	calculated by:
49	49	(1) subtracting:
50	50	(A) the amount of the taxes that otherwise would
51	51	be imposed on the property for the entire year had the individual
52	52	qualified for the exemptions for the entire year; from
53	53	(B) the amount of the taxes that otherwise would
54	54	be imposed on the property for the entire year had the individual
55	55	not qualified for the exemptions during the year;
56	56	(2) multiplying the remainder determined under
57	57	Subdivision (1) by a fraction, the denominator of which is 365 and
58	58	the numerator of which is the number of days in that year that
59	59	elapsed before the date the individual first qualified the property
60	60	for the exemptions; and
61	61	(3) adding the product determined under Subdivision
62	62	(2) and the amount described by Subdivision (1)(A).
63	63	(b) If an individual receives one or more exemptions to
64	64	which Subsection (a) of this section applies for a portion of a tax
65	65	year as provided by Section 11.42(f) and the exemptions terminate
66	66	during the year in which the individual acquired the property, the
67	67	amount of tax due on the property for that year is calculated by:
68	68	(1) subtracting:
69	69	(A) the amount of the taxes that otherwise would
70	70	be imposed on the property for the entire year had the individual
71	71	qualified for the exemptions for the entire year; from
72	72	(B) the amount of the taxes that otherwise would
73	73	be imposed on the property for the entire year had the individual
74	74	not qualified for the exemptions during the year;
75	75	(2) multiplying the remainder determined under
76	76	Subdivision (1) by a fraction, the denominator of which is 365 and
77	77	the numerator of which is the sum of:
78	78	(A) the number of days in that year that elapsed
79	79	before the date the individual first qualified the property for the
80	80	exemptions; and
81	81	(B) the number of days in that year that elapsed
82	82	after the date the exemptions terminated; and
83	83	(3) adding the product determined under Subdivision
84	84	(2) and the amount described by Subdivision (1)(A).
85	85	(c) If an individual qualifies to receive an exemption as
86	86	described by Subsection (a) with respect to a property after the
87	87	amount of tax due on the property is calculated and if the effect of
88	88	the qualification is to reduce the amount of tax due on the
89	89	property, the assessor for each taxing unit shall recalculate the
90	90	amount of the tax due on the property and correct the tax roll. If
91	91	the tax bill has been mailed and the tax on the property has not been
92	92	paid, the assessor shall mail a corrected tax bill to the individual
93	93	in whose name the property is listed on the tax roll or to the
94	94	individual's authorized agent. If the tax on the property has been
95	95	paid, the collector for the taxing unit shall refund to the
96	96	individual who paid the tax the amount by which the payment exceeded
97	97	the tax due.
98	98	SECTION 5. Section 39.082, Education Code, is amended by
99	99	adding Subsection (c-1) to read as follows:
100	100	(c-1) The system may not include an indicator under
101	101	Subsection (b) or any other performance measure that penalizes a
102	102	school district for failure to collect the amount of taxes equal to
103	103	the total amount of tax refunds provided under Section 26.1115(c),
104	104	Tax Code.
105	105	SECTION 6. Section 48.202, Education Code, is amended by
106	106	adding Subsection (e-1) to read as follows:
107	107	(e-1) For purposes of this section, the total amount of
108	108	maintenance and operations taxes collected by a school district
109	109	includes the amount of taxes refunded under Section 26.1115(c), Tax
110	110	Code.
111	111	SECTION 7. Subchapter F, Chapter 48, Education Code, is
112	112	amended by adding Section 48.2541 to read as follows:
113	113	Sec. 48.2541. ADDITIONAL STATE AID FOR CERTAIN AD VALOREM
114	114	TAX REFUNDS. For each school year, a school district, including a
115	115	school district that is otherwise ineligible for state aid under
116	116	this chapter, is entitled to state aid in an amount equal to the
117	117	amount of all tax refunds provided under Section 26.1115(c), Tax
118	118	Code.
119	119	SECTION 8. This Act applies only to a residence homestead
120	120	acquired on or after the effective date of this Act.
121	121	SECTION 9. This Act takes effect January 1, 2022.