88R4233 DRS-D
By: Raymond H.B. No. 4860
A BILL TO BE ENTITLED
AN ACT
relating to ad valorem tax protests and appeals on the ground of the
unequal appraisal of property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 25.25, Tax Code, is amended by amending
Subsection (d-1) and adding Subsection (d-2) to read as follows:
(d-1) A property owner may file a motion under Subsection
(d) on the ground of unequal appraisal of property.
(d-2) If the appraisal roll is changed under Subsection (d),
the property owner must pay to each affected taxing unit a
late-correction penalty equal to 10 percent of the amount of taxes
as calculated on the basis of the corrected appraised value.
Payment of the late-correction penalty is secured by the lien that
attaches to the property under Section 32.01 and is subject to
enforced collection under Chapter 33. The roll may not be changed
under Subsection (d) if:
(1) the property was the subject of a protest brought
by the property owner under Chapter 41, a hearing on the protest was
conducted in which the property owner offered evidence or argument,
and the appraisal review board made a determination of the protest
on the merits; or
(2) the appraised value of the property was
established as a result of a written agreement between the property
owner or the owner's agent and the appraisal district.
SECTION 2. Section 41.43, Tax Code, is amended by adding
Subsections (e) and (f) to read as follows:
(e) In a protest authorized by Sections 41.41(a)(1) and (2)
in which the property owner submits evidence to support the
property owner's protest on the ground of determination of
appraised value and on the ground of unequal appraisal, the
appraisal review board shall determine:
(1) the value of the property; and
(2) whether the property owner is entitled to relief
on the ground of unequal appraisal under Subsection (b).
(f) If the appraisal review board determines under
Subsection (e) that the value of the property for purposes of the
protest authorized under Section 41.41(a)(1) is different from the
value of the property established to determine whether the property
was appraised equally for purposes of the protest authorized under
Section 41.41(a)(2), the appraisal review board shall order the
property's appraised value changed to the value that results in the
lower appraised value.
SECTION 3. Section 42.26, Tax Code, is amended by adding
Subsection (c-1) and amending Subsection (d) to read as follows:
(c-1) The court may admit evidence of the market value of
the property subject to the suit only for purposes of establishing
the appraisal ratio of the property to determine whether the
property owner is entitled to relief as provided by Subsection (a).
(d) For purposes of this section and subject to Subsection
(c-1), the value of the property subject to the suit and the value
of a comparable property or sample property that is used for
comparison must be the market value determined by the appraisal
district when the property is a residence homestead subject to the
limitation on appraised value imposed by Section 23.23.
SECTION 4. Section 25.25(d-1), Tax Code, as amended by this
Act, applies only to a motion to correct an appraisal roll filed
under Section 25.25, Tax Code, on or after the effective date of
this Act.
SECTION 5. Sections 41.43(e) and (f), Tax Code, as added by
this Act, apply only to a protest under Chapter 41, Tax Code, for
which a notice of protest is filed on or after the effective date of
this Act.
SECTION 6. Section 42.26(c-1), Tax Code, as added by this
Act, applies only to an appeal filed under Chapter 42, Tax Code, on
or after the effective date of this Act. An appeal filed under
Chapter 42, Tax Code, before the effective date of this Act is
governed by the law in effect when the appeal was filed, and the
former law is continued in effect for that purpose.
SECTION 7. This Act takes effect January 1, 2024.