89R5610 MLH-D
By: Turner H.B. No. 3235
A BILL TO BE ENTITLED
AN ACT
relating to the limitation on increases in the appraised value of a
residence homestead for ad valorem tax purposes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 23.23(a), Tax Code, is amended to read as
follows:
(a) Notwithstanding the requirements of Section 25.18 and
regardless of whether the appraisal office has appraised the
property and determined the market value of the property for the tax
year, [an appraisal office may increase] the appraised value of a
residence homestead for a tax year is equal to [an amount not to
exceed] the lesser of:
(1) the market value of the property for the most
recent tax year that the market value was determined by the
appraisal office; or
(2) the sum of:
(A) 10 percent of the appraised value of the
property for the preceding tax year;
(B) the appraised value of the property for the
preceding tax year; and
(C) the market value of all new improvements to
the property.
SECTION 2. This Act applies only to the appraisal for ad
valorem tax purposes of residence homesteads for a tax year that
begins on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2026.