87S30388 CJC-D
By: Crockett H.B. No. 130
A BILL TO BE ENTITLED
AN ACT
relating to a credit against the ad valorem taxes imposed on
property on which certain solar energy devices have been installed.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 31, Tax Code, is amended by adding
Section 31.039 to read as follows:
Sec. 31.039. TAX CREDIT FOR SOLAR ENERGY DEVICE ACQUISITION
AND INSTALLATION COSTS. (a) In this section, "solar energy device"
has the meaning assigned by Section 11.27.
(b) A person who owns real property and installs a solar
energy device on the property is entitled to a credit against the
taxes imposed on the property by each taxing unit that taxes the
property.
(c) The amount of the credit to which a property owner is
entitled under this section against the taxes imposed in a tax year
on the property by a taxing unit is computed by:
(1) dividing the amount of taxes imposed on the
property by the taxing unit by the total amount of taxes imposed on
the property by all of the taxing units that tax the property; and
(2) multiplying the amount determined under
Subdivision (1) by the lesser of the following amounts:
(A) an amount equal to one-sixth of the total
cost incurred by the property owner in acquiring the solar energy
device and installing the device on the property; or
(B) $2,500.
(d) A property owner may receive a credit under this section
against the taxes imposed on the property by a taxing unit until the
first tax year after the sixth tax year in which the property owner
receives the credit.
(e) To receive a credit under this section, a property owner
must file an application with the chief appraiser of the appraisal
district in which the property is located. The application must
include the total cost incurred by the property owner in acquiring
and installing the solar energy device.
(f) The chief appraiser shall forward a copy of the
application to the assessor for each taxing unit that taxes the
property. The assessors for the taxing units shall consult with one
another as necessary to compute the amount of the credit to be
granted by each taxing unit.
(g) A credit provided by this section, once allowed, need
not be claimed in subsequent years and applies to the property
regardless of any subsequent change in ownership of the property.
(h) The comptroller shall adopt rules for the
administration of this section, including rules prescribing the
form of an application for the credit.
SECTION 2. This Act applies only to ad valorem taxes imposed
for a tax year beginning on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2023, but only
if the constitutional amendment proposed by the 87th Legislature,
3rd Called Session, 2021, to authorize the legislature to provide
for a credit against the ad valorem taxes imposed on property on
which a solar energy device has been installed based on the cost of
acquiring and installing the device is approved by the voters. If
that amendment is not approved by the voters, this Act has no
effect.