| Old | New | Differences | |
|---|---|---|---|
| 1 | 1 | 2025S0074-1 02/05/25 | |
| 2 | 2 | By: Sparks S.B. No. 1201 | |
| 3 | 3 | ||
| 4 | 4 | ||
| 5 | 5 | ||
| 6 | 6 | ||
| 7 | 7 | A BILL TO BE ENTITLED | |
| 8 | 8 | AN ACT | |
| 9 | 9 | relating to adjustments in the appraised value of a residence | |
| 10 | 10 | homestead. | |
| 11 | 11 | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | |
| 12 | 12 | SECTION 1. Section 23.23(a), Tax Code, is amended to read as | |
| 13 | 13 | follows: | |
| 14 | 14 | (a) Notwithstanding the requirements of Section 25.18 and | |
| 15 | 15 | regardless of whether the appraisal office has appraised the | |
| 16 | 16 | property and determined the market value of the property for the tax | |
| 17 | 17 | year, an appraisal office may adjust [increase] the appraised value | |
| 18 | 18 | of a residence homestead for a tax year to an amount not to exceed | |
| 19 | 19 | the lesser of: | |
| 20 | 20 | (1) the market value of the property for the most | |
| 21 | 21 | recent tax year that the market value was determined by the | |
| 22 | 22 | appraisal office; [or] | |
| 23 | 23 | (2) if the market value of the property has increased | |
| 24 | 24 | from the most recent tax year, the sum of: | |
| 25 | 25 | (A) 3 [10] percent of the appraised value of the | |
| 26 | 26 | property for the preceding tax year; | |
| 27 | 27 | (B) the appraised value of the property for the | |
| 28 | 28 | preceding tax year; and | |
| 29 | 29 | (C) the market value of all new improvements to | |
| 30 | 30 | the property; or | |
| 31 | 31 | (3) if the market value of the property has decreased | |
| 32 | 32 | from the most recent tax year, the sum of: | |
| 33 | 33 | (A) the appraised value of the property for the | |
| 34 | 34 | preceding tax year minus the percentage of the appraised value of | |
| 35 | 35 | the property proportionate to the percentage of the decreased | |
| 36 | 36 | market value; and | |
| 37 | 37 | (B) the market value of all new improvements to | |
| 38 | 38 | the property. | |
| 39 | 39 | SECTION 2. This Act takes effect September 1, 2025. |