Texas 2021 - 87th 2nd C.S.

Texas House Bill HJR20 Compare Versions

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

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1	1	87S20013 SMH-D
2	2	By: Allison H.J.R. No. 20
3	3
4	4
5	5	A JOINT RESOLUTION
6	6	proposing a constitutional amendment authorizing the legislature
7	7	to limit the maximum appraised value of residential real property
8	8	for ad valorem tax purposes to 105 percent or more of the appraised
9	9	value of the property for the preceding tax year, to exempt from ad
10	10	valorem taxation the total appraised value of property purchased by
11	11	an individual for the first tax year the individual qualifies the
12	12	property as the individual's residence homestead if the property is
13	13	the individual's first residence homestead and has an appraised
14	14	value of less than $300,000, and to limit the total amount of ad
15	15	valorem taxes that a political subdivision may impose on the
16	16	residence homestead of an individual and the surviving spouse of
17	17	the individual if the individual qualifies the property as the
18	18	individual's residence homestead for at least 25 consecutive tax
19	19	years.
20	20	BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
21	21	SECTION 1. Section 1(i), Article VIII, Texas Constitution,
22	22	is amended to read as follows:
23	23	(i) Notwithstanding Subsections (a) and (b) of this
24	24	section, the Legislature by general law may limit the maximum
25	25	appraised value of residential real property, as defined by the
26	26	Legislature, [a residence homestead] for ad valorem tax purposes in
27	27	a tax year to the lesser of the most recent market value of the real
28	28	property [residence homestead] as determined by the appraisal
29	29	entity or 105 [110] percent, or a greater percentage, of the
30	30	appraised value of the real property [residence homestead] for the
31	31	preceding tax year. A limitation on appraised values authorized by
32	32	this subsection:
33	33	(1) takes effect in the tax year following the first
34	34	tax year in which the owner owns the property on January 1 or, if the
35	35	property qualifies for an exemption as the [to a] residence
36	36	homestead of the owner under Section 1-b of this article in the tax
37	37	year in which the owner acquires the property, in [on the later of
38	38	the effective date of the law imposing the limitation or January 1
39	39	of] the tax year following the [first] tax year in which the owner
40	40	acquires [qualifies] the property [for an exemption under Section
41	41	1-b of this article]; and
42	42	(2) expires on January 1 of the [first] tax year
43	43	following the tax year in which [that neither] the owner of the
44	44	property when the limitation took effect ceases to own the
45	45	property, except that the Legislature by general law may provide
46	46	for the limitation applicable to a residence homestead to continue
47	47	during ownership of the property by [nor] the owner's spouse or
48	48	surviving spouse [qualifies for an exemption under Section 1-b of
49	49	this article].
50	50	SECTION 2. Section 1-b, Article VIII, Texas Constitution,
51	51	is amended by adding Subsection (q) to read as follows:
52	52	(q) The legislature by general law may provide that an
53	53	individual who purchases property and qualifies the property as the
54	54	individual's residence homestead is entitled to an exemption from
55	55	ad valorem taxation of the total appraised value of the property for
56	56	the first tax year the individual qualifies the property as the
57	57	individual's residence homestead if the property is the first
58	58	property the individual has ever qualified as the individual's
59	59	residence homestead and has an appraised value of less than
60	60	$300,000 for that first tax year. Where ad valorem tax of a
61	61	political subdivision has previously been pledged for the payment
62	62	of debt, the taxing officers of the political subdivision may
63	63	continue to levy and collect the tax against the value of residence
64	64	homesteads exempted under this subsection until the debt is
65	65	discharged if the cessation of the levy would impair the obligation
66	66	of the contract by which the debt was created. The legislature
67	67	shall provide for formulas to protect school districts against all
68	68	or part of the revenue loss incurred by the implementation of this
69	69	subsection. The legislature by general law may prescribe
70	70	procedures for the administration of this subsection.
71	71	SECTION 3. Article VIII, Texas Constitution, is amended by
72	72	adding Section 1-b-1 to read as follows:
73	73	Sec. 1-b-1. (a) The legislature by general law may limit
74	74	the total amount of ad valorem taxes imposed by a political
75	75	subdivision on the residence homestead of an individual who
76	76	qualifies the property as the individual's residence homestead for
77	77	at least 25 consecutive tax years. A law enacted under this section
78	78	may provide that the taxes imposed by the political subdivision on
79	79	the residence homestead after that 25th tax year may not exceed the
80	80	amount of taxes imposed by the political subdivision on the
81	81	property in that 25th tax year.
82	82	(b) A law enacted under this section may provide that if the
83	83	first tax year an individual qualified property as the individual's
84	84	residence homestead was a tax year before the 24th tax year before
85	85	the tax year in which the law took effect, the individual is
86	86	considered to have qualified the property as the individual's
87	87	residence homestead for the first time in the 24th tax year before
88	88	the tax year in which the law took effect.
89	89	(c) A law enacted under this section may provide that the
90	90	total amount of ad valorem taxes imposed by a political subdivision
91	91	on a residence homestead may not be increased while the property
92	92	remains the residence homestead of the surviving spouse of an
93	93	individual who dies in a tax year in which the taxes on the property
94	94	are subject to the limitation authorized by Subsection (a) of this
95	95	section.
96	96	(d) Notwithstanding Subsection (a) or (c) of this section, a
97	97	law enacted under this section may provide that taxes on a residence
98	98	homestead subject to the limitation authorized by this section may
99	99	be increased to the extent the value of the residence homestead is
100	100	increased by an improvement made to the property, other than:
101	101	(1) a repair; or
102	102	(2) an improvement made to comply with a governmental
103	103	requirement.
104	104	(e) A law enacted under this section may prescribe:
105	105	(1) additional eligibility requirements for the tax
106	106	limitation authorized by this section; and
107	107	(2) procedures for the administration of the
108	108	limitation.
109	109	SECTION 4. This proposed constitutional amendment shall be
110	110	submitted to the voters at an election to be held November 8, 2022.
111	111	The ballot shall be printed to permit voting for or against the
112	112	proposition: "The constitutional amendment authorizing the
113	113	legislature to limit the maximum appraised value of residential
114	114	real property for ad valorem tax purposes to 105 percent or more of
115	115	the appraised value of the property for the preceding tax year, to
116	116	exempt from ad valorem taxation the total appraised value of
117	117	property purchased by an individual for the first tax year the
118	118	individual qualifies the property as the individual's residence
119	119	homestead if the property is the individual's first residence
120	120	homestead and has an appraised value of less than $300,000, and to
121	121	limit the total amount of ad valorem taxes that a political
122	122	subdivision may impose on the residence homestead of an individual
123	123	and the surviving spouse of the individual if the individual
124	124	qualifies the property as the individual's residence homestead for
125	125	at least 25 consecutive tax years."