Texas 2025 - 89th Regular

Texas Senate Bill SB2956

Voted on by Senate
 
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the exemption from ad valorem taxation of property owned by an organization engaged primarily in performing charitable functions.

Impact

The enactment of SB2956 would provide a more streamlined process for charitable organizations to maintain their property tax exemptions, potentially reducing financial burdens on these groups. By enabling automatic reinstatement of expired exemptions, the bill seeks to reinforce the sustainability of charitable functions within communities. This could lead to enhanced support from nonprofits, which play critical roles in various sectors, including education, healthcare, and social services.

Summary

SB2956 is a legislative proposal focusing on the exemption from ad valorem taxation for properties held by organizations primarily engaged in charitable functions. This bill aims to reform the existing tax code, allowing for automatic reinstatement of tax exemptions for organizations whose previously granted exemptions may have expired under certain conditions. Organizations that still own the property in question and maintain compliance with IRS regulations can benefit from this amendment through a simpler reapplication process, encouraging continued support for their charitable activities.

Contention

Discussions surrounding SB2956 may include debates on its broader implications for local and state revenue from property taxes. Critics might worry that the expanded exemptions could diminish public funding for essential services, while proponents argue that supporting nonprofit organizations leads to overall community benefits. Furthermore, the bill’s potential to ease regulations for tax-exempt organizations may be scrutinized regarding the accountability and transparency of such entities in their financial dealings and operational compliance.

Texas Constitutional Statutes Affected

Tax Code

  • Chapter 11. Taxable Property And Exemptions
    • Section: New Section
    • Section: 43

Companion Bills

TX HB5478

Very Similar Relating to the exemption from ad valorem taxation of property owned by an organization engaged primarily in performing charitable functions.

Previously Filed As

TX HB4774

Relating to the exemption from ad valorem taxation of property owned by an organization engaged primarily in performing charitable functions.

TX SB2361

Relating to the exemption from ad valorem taxation of property owned by an organization engaged primarily in performing charitable functions.

TX SB1774

Relating to the exemption from ad valorem taxation of real property owned by certain charitable organizations.

TX HB2987

Relating to the exemption of tangible personal property from ad valorem taxation; making conforming changes.

TX SB1789

Relating to the exemption of tangible personal property from ad valorem taxation; making conforming changes.

TX HB741

Relating to an exemption from ad valorem taxation of property owned by a charitable organization and used to provide child-care services.

TX HB3691

Relating to the exemption from ad valorem taxation of certain property owned by a charitable organization that is engaged in providing housing and related facilities and services to persons who are at least 62 years of age.

TX SB1255

Relating to the exemption from ad valorem taxation of certain property owned by a charitable organization that is engaged in providing housing and related facilities and services to persons who are at least 62 years of age.

TX HB4851

Relating to an exemption from ad valorem taxation of the real and personal property owned and exclusively used by a labor organization for the organization's operations.

TX HB456

Relating to an exemption from ad valorem taxation of certain interests in a mineral in place owned by certain charitable organizations.

Similar Bills

CA AB2013

Property taxation: new construction: damaged or destroyed property.

CA AB1500

Property taxation: application of base year value: disaster relief.

CA AB245

Property taxation: application of base year value: disaster relief.

DC B25-0486

Uniform Community Property Disposition at Death Act of 2023

CA SB964

Property tax: tax-defaulted property sales.

CA SB603

Property taxation: transfer of base year value: disaster relief.

CA SB1091

Property taxation: transfer of base year value: disaster relief.

HI HB1398

Relating To Property.