88R4437 SHH-D
By: Bailes H.B. No. 3409
A BILL TO BE ENTITLED
AN ACT
relating to the treatment for ad valorem tax purposes of exotic
animals raised or kept for agricultural use.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.16(c), Tax Code, is amended to read as
follows:
(c) For purposes of this exemption, the following
definitions apply:
(1) "Exotic animal" has the meaning assigned by
Section 23.51.
(2) "Farm products" include livestock, poultry,
exotic animals, and timber.
(3) [(2)] "In the hands of the producer," for
livestock, poultry, [and] eggs, and exotic animals, means under the
ownership of the person who is financially providing for the
physical requirements of such livestock, poultry, [and] eggs, and
exotic animals on January 1 of the tax year and, for timber, means
standing timber or timber that has been harvested and, on January 1
of the tax year, is located on the real property on which it was
produced and is under the ownership of the person who owned the
timber when it was standing.
SECTION 2. Section 23.51(2), Tax Code, is amended to read as
follows:
(2) "Agricultural use" includes but is not limited to
the following activities: cultivating the soil, producing crops for
human food, animal feed, or planting seed or for the production of
fibers; floriculture, viticulture, and horticulture; raising or
keeping livestock; raising or keeping exotic animals [for the
production of human food or of fiber, leather, pelts, or other
tangible products having a commercial value]; planting cover crops
or leaving land idle for the purpose of participating in a
governmental program, provided the land is not used for residential
purposes or a purpose inconsistent with agricultural use; and
planting cover crops or leaving land idle in conjunction with
normal crop or livestock rotation procedure. The term also
includes the use of land to produce or harvest logs and posts for
the use in constructing or repairing fences, pens, barns, or other
agricultural improvements on adjacent qualified open-space land
having the same owner and devoted to a different agricultural use.
The term also includes the use of land for wildlife management. The
term also includes the use of land to raise or keep bees for
pollination or for the production of human food or other tangible
products having a commercial value, provided that the land used is
not less than 5 or more than 20 acres.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2023.