Texas 2023 - 88th Regular

Texas Senate Bill SB522 Compare Versions

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1	1	88R3418 DRS-D
2	2	By: West S.B. No. 522
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of an owner of certain residential real
8	8	property to pay the ad valorem taxes imposed on the property in
9	9	installments.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Chapter 31, Tax Code, is amended by adding
12	12	Section 31.034 to read as follows:
13	13	Sec. 31.034. INSTALLMENT PAYMENT OF TAXES ON CERTAIN
14	14	RESIDENTIAL REAL PROPERTY. (a) This section applies only to taxes
15	15	imposed by a taxing unit in a tax year on property that:
16	16	(1) is used for residential purposes; and
17	17	(2) has fewer than three living units.
18	18	(b) A person may pay a taxing unit's taxes imposed on
19	19	property described by Subsection (a) that the person owns in eight
20	20	equal installments without penalty or interest if the person:
21	21	(1) provides written notice to the taxing unit not
22	22	later than December 31 of the year for which the taxes are imposed
23	23	that the person will pay the taxes in eight equal monthly
24	24	installments; and
25	25	(2) pays the first installment before the date on
26	26	which the taxes become delinquent.
27	27	(c) Notwithstanding Subsection (b), a person may not make
28	28	installment payments of taxes under this section on more than five
29	29	properties at any one time.
30	30	(d) If the delinquency date is February 1, the second
31	31	installment must be paid before March 1, and each subsequent
32	32	installment must be paid before the first day of each subsequent
33	33	month.
34	34	(e) If the delinquency date is a date other than February 1,
35	35	the second installment must be paid before the first day of the
36	36	first month after the delinquency date, and each subsequent
37	37	installment must be paid before the first day of each subsequent
38	38	month.
39	39	(f) If the person fails to make a payment before the
40	40	applicable due date provided by this section, the unpaid
41	41	installment is delinquent and incurs a penalty of six percent and
42	42	interest as provided by Section 33.01(c), except that the total
43	43	amount of penalty and interest incurred may not exceed 15 percent of
44	44	the amount of the installment without regard to the number of months
45	45	the installment is delinquent. The penalty provided by Section
46	46	33.01(a) does not apply to the unpaid installment.
47	47	(g) A person may pay more than the amount due for each
48	48	installment and the amount in excess of the amount due shall be
49	49	credited to the next installment. A person may not pay less than the
50	50	total amount due for each installment unless the collector provides
51	51	for the acceptance of partial payments under this section. If the
52	52	collector accepts a partial payment, penalties and interest are
53	53	incurred only by the amount of each installment that remains unpaid
54	54	on the applicable due date.
55	55	SECTION 2. Section 33.08(b), Tax Code, is amended to read as
56	56	follows:
57	57	(b) The governing body of the taxing unit or appraisal
58	58	district, in the manner required by law for official action, may
59	59	provide that taxes that become delinquent on or after June 1 under
60	60	Section 26.075(j), 26.15(e), 31.03, 31.031, 31.032, 31.033,
61	61	31.034, 31.04, or 42.42 incur an additional penalty to defray costs
62	62	of collection. The amount of the penalty may not exceed the amount
63	63	of the compensation specified in the applicable contract with an
64	64	attorney under Section 6.30 to be paid in connection with the
65	65	collection of the delinquent taxes.
66	66	SECTION 3. This Act applies only to ad valorem taxes for
67	67	which the delinquency date is on or after the effective date of this
68	68	Act.
69	69	SECTION 4. This Act takes effect September 1, 2023.