Texas Senate Bill SB1052

Texas 2025 - 89th Regular

• Filed: 2/3/25

Caption

Relating to the calculation of certain ad valorem tax rates of a taxing unit for a year in which a property owner provides notice that the owner intends to appeal an order of an appraisal review board determining a protest by the owner regarding the appraisal of the owner's property.

Impact

The passage of SB1052 would have significant implications for how tax rates are calculated in scenarios involving contested property valuations. Specifically, it mandates that electronic forms be utilized for tax rate calculations, enhancing efficiency and potentially improving accuracy. By streamlining the communication process between property owners and taxing units, the bill seeks to minimize discrepancies in appraisal processes, thereby impacting local government operations regarding property valuation and taxation.

Summary

Senate Bill 1052 aims to amend sections of the Texas Tax Code concerning the processes for calculating ad valorem tax rates when property owners intend to appeal decisions made by appraisal review boards. The bill introduces various definitions related to property valuation disputes, including 'affected taxing unit' and 'anticipated substantial litigation'. It requires that property owners notify the designated officers of the taxing units if they plan to escalate their disputes to appeals and outlines the necessary information they must provide, such as the total amount of uncontested taxable value of their property.

Contention

Notable points of contention surrounding SB1052 include concerns over its potential effects on local governance and property rights. Critics may argue that the requirements set forth could burden smaller property owners or those without sufficient resources to navigate the new regulations effectively. Supporters, however, believe the bill fosters transparency and fairness in the tax appeal process, seeking to prevent any undue advantage gained through protracted litigation without adequate disclosure of property values. These debates highlight the ongoing tension between ensuring equitable tax practices and maintaining streamlined regulatory processes.

Texas Constitutional Statutes Affected

Tax Code

• Chapter 5. State Administration
  • Section: 07

• Chapter 26. Assessment
  • Section: New Section
  • Section: 04
  • Section: 16
  • Section: 17

• Chapter 41. Local Review
  • Section: New Section