Bill Text: TX HB1582 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the period for redeeming the residence homestead of an elderly person sold at an ad valorem tax sale.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-03 - Referred to Ways & Means [HB1582 Detail]
Download: Texas-2023-HB1582-Introduced.html
88R9024 SHH-D | ||
By: Dutton | H.B. No. 1582 |
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relating to the period for redeeming the residence homestead of an | ||
elderly person sold at an ad valorem tax sale. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 34.21, Tax Code, is amended by amending | ||
Subsections (a), (b), and (c) and adding Subsection (d-1) to read as | ||
follows: | ||
(a) The owner of real property sold at a tax sale to a | ||
purchaser other than a taxing unit that was used as the residence | ||
homestead of the owner or that was land designated for agricultural | ||
use when the suit or the application for the warrant was filed, or | ||
the owner of a mineral interest sold at a tax sale to a purchaser | ||
other than a taxing unit, may redeem the property on or before the | ||
second anniversary of the date on which the purchaser's deed is | ||
filed for record, or on or before a later anniversary of that date | ||
as provided by Subsection (d-1), by paying the purchaser the amount | ||
the purchaser bid for the property, the amount of the deed recording | ||
fee, and the amount paid by the purchaser as taxes, penalties, | ||
interest, and costs on the property, plus a redemption premium of 25 | ||
percent of the aggregate total if the property is redeemed during | ||
the first year of the redemption period or 50 percent of the | ||
aggregate total if the property is redeemed during a subsequent | ||
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(b) If property that was used as the owner's residence | ||
homestead or was land designated for agricultural use when the suit | ||
or the application for the warrant was filed, or that is a mineral | ||
interest, is bid off to a taxing unit under Section 34.01(j) or (p) | ||
and has not been resold by the taxing unit, the owner having a right | ||
of redemption may redeem the property on or before the second | ||
anniversary of the date on which the deed of the taxing unit is | ||
filed for record, or on or before a later anniversary of that date | ||
as provided by Subsection (d-1), by paying the taxing unit: | ||
(1) the lesser of the amount of the judgment against | ||
the property or the market value of the property as specified in | ||
that judgment, plus the amount of the fee for filing the taxing | ||
unit's deed and the amount spent by the taxing unit as costs on the | ||
property, if the property was judicially foreclosed and bid off to | ||
the taxing unit under Section 34.01(j); or | ||
(2) the lesser of the amount of taxes, penalties, | ||
interest, and costs for which the warrant was issued or the market | ||
value of the property as specified in the warrant, plus the amount | ||
of the fee for filing the taxing unit's deed and the amount spent by | ||
the taxing unit as costs on the property, if the property was seized | ||
under Subchapter E, Chapter 33, and bid off to the taxing unit under | ||
Section 34.01(p). | ||
(c) If real property that was used as the owner's residence | ||
homestead or was land designated for agricultural use when the suit | ||
or the application for the warrant was filed, or that is a mineral | ||
interest, has been resold by the taxing unit under Section 34.05, | ||
the owner of the property having a right of redemption may redeem | ||
the property on or before the second anniversary of the date on | ||
which the taxing unit files for record the deed from the sheriff or | ||
constable, or on or before a later anniversary of that date as | ||
provided by Subsection (d-1), by paying the person who purchased | ||
the property from the taxing unit the amount the purchaser paid for | ||
the property, the amount of the fee for filing the purchaser's deed | ||
for record, and the amount paid by the purchaser as taxes, | ||
penalties, interest, and costs on the property, plus a redemption | ||
premium of 25 percent of the aggregate total if the property is | ||
redeemed in the first year of the redemption period or 50 percent of | ||
the aggregate total if the property is redeemed during a subsequent | ||
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(d-1) Notwithstanding the general redemption period | ||
prescribed by Subsection (a), (b), or (c), a person 65 years of age | ||
or older who was an owner of real property subject to a tax sale | ||
under Section 34.01 that was the owner's residence homestead when | ||
the suit or the application for the warrant was filed may redeem the | ||
property on or before the fourth anniversary of the date on which: | ||
(1) the purchaser's deed is filed for record, if the | ||
property is redeemed under Subsection (a); | ||
(2) the deed of the taxing unit is filed for record, if | ||
the property is redeemed under Subsection (b); or | ||
(3) the taxing unit files for record the deed from the | ||
sheriff or constable, if the property is redeemed under Subsection | ||
(c). | ||
SECTION 2. Section 33.06(c-1), Tax Code, is amended to read | ||
as follows: | ||
(c-1) To obtain an abatement of a pending sale to foreclose | ||
the tax lien, the individual must deliver an affidavit stating the | ||
facts required to be established by Subsection (a) to the chief | ||
appraiser of each appraisal district that appraises the property, | ||
the collector for the taxing unit that requested the order of sale | ||
or the attorney representing that taxing unit for the collection of | ||
delinquent taxes, and the officer charged with selling the property | ||
not later than the fifth day before the date of the sale. After an | ||
affidavit is delivered under this subsection, the property may not | ||
be sold at a tax sale until the 181st day after the date the | ||
collector for the taxing unit delivers a notice of delinquency of | ||
the taxes following the date the individual no longer owns and | ||
occupies the property as a residence homestead. If property is sold | ||
in violation of this section, the property owner may file a motion | ||
to set aside the sale under the same cause number and in the same | ||
court as a judgment reference in the order of sale. The motion must | ||
be filed during the applicable redemption period as set forth in | ||
Section 34.21(a) or (d-1) or, if the property is bid off to a taxing | ||
entity, on or before the 180th day following the date the taxing | ||
unit's deed is filed of record, whichever is later. This right is | ||
not transferable to a third party. | ||
SECTION 3. The change in law made by this Act applies only | ||
to the redemption of real property sold or bid off at a tax sale for | ||
which the deed from the sale or transfer is filed for record on or | ||
after the effective date of this Act. The redemption of real | ||
property sold or bid off at a tax sale for which the deed from the | ||
sale or transfer is filed for record before the effective date of | ||
this Act is governed by the law in effect when the deed is filed, and | ||
the former law is continued in effect for that purpose. | ||
SECTION 4. This Act takes effect January 1, 2024, but only | ||
if the constitutional amendment proposed by the 88th Legislature, | ||
Regular Session, 2023, to lengthen the period for redeeming the | ||
residence homestead of a person 65 years of age or older sold at an | ||
ad valorem tax sale is approved by the voters. If that amendment is | ||
not approved by the voters, this Act has no effect. |