Bill Text: TX SB12 | 2021 | 87th Legislature 1st Special Session | Comm Sub
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Bill Title: Relating to the reduction of the amount of a limitation on the total amount of ad valorem taxes that may be imposed by a school district on the residence homestead of an individual who is elderly or disabled to reflect any reduction from the preceding tax year in the district's maximum compressed rate.
Spectrum: Moderate Partisan Bill (Republican 16-2)
Status: (Engrossed - Dead) 2021-07-16 - Co-author authorized [SB12 Detail]
Download: Texas-2021-SB12-Comm_Sub.html
Bill Title: Relating to the reduction of the amount of a limitation on the total amount of ad valorem taxes that may be imposed by a school district on the residence homestead of an individual who is elderly or disabled to reflect any reduction from the preceding tax year in the district's maximum compressed rate.
Spectrum: Moderate Partisan Bill (Republican 16-2)
Status: (Engrossed - Dead) 2021-07-16 - Co-author authorized [SB12 Detail]
Download: Texas-2021-SB12-Comm_Sub.html
By: Bettencourt, Kolkhorst | S.B. No. 12 | |
(In the Senate - Filed July 8, 2021; July 8, 2021, read | ||
first time and referred to Committee on Local Government; | ||
July 12, 2021, reported favorably by the following vote: Yeas 8, | ||
Nays 0; July 12, 2021, sent to printer.) | ||
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relating to the reduction of the amount of a limitation on the total | ||
amount of ad valorem taxes that may be imposed by a school district | ||
on the residence homestead of an individual who is elderly or | ||
disabled to reflect any reduction from the preceding tax year in the | ||
district's maximum compressed rate. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 11.26, Tax Code, is amended by adding | ||
Subsections (a-4), (a-5), (a-6), (a-7), (a-8), and (a-9) to read as | ||
follows: | ||
(a-4) In this section, "maximum compressed rate" means the | ||
maximum compressed rate of a school district as calculated under | ||
Section 48.2551, Education Code. | ||
(a-5) Notwithstanding the other provisions of this section, | ||
if in the 2022 tax year an individual qualifies for a limitation on | ||
tax increases provided by this section on the individual's | ||
residence homestead and the first tax year the individual or the | ||
individual's spouse qualified for an exemption under Section | ||
11.13(c) for the same homestead was a tax year before the 2019 tax | ||
year, the amount of the limitation provided by this section on the | ||
homestead in the 2022 tax year is equal to the amount computed by: | ||
(1) multiplying the taxable value of the homestead in | ||
the 2018 tax year by a tax rate equal to the difference between the | ||
school district's tier one maintenance and operations rate for the | ||
2018 tax year and the district's maximum compressed rate for the | ||
2019 tax year; | ||
(2) subtracting the greater of zero or the amount | ||
computed under Subdivision (1) from the amount of tax the district | ||
imposed on the homestead in the 2018 tax year; | ||
(3) adding any tax imposed in the 2019 tax year | ||
attributable to improvements made in the 2018 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (2); | ||
(4) multiplying the taxable value of the homestead in | ||
the 2019 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2019 tax year and the | ||
district's maximum compressed rate for the 2020 tax year; | ||
(5) subtracting the amount computed under Subdivision | ||
(4) from the amount computed under Subdivision (3); | ||
(6) adding any tax imposed in the 2020 tax year | ||
attributable to improvements made in the 2019 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (5); | ||
(7) multiplying the taxable value of the homestead in | ||
the 2020 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2020 tax year and the | ||
district's maximum compressed rate for the 2021 tax year; | ||
(8) subtracting the amount computed under Subdivision | ||
(7) from the amount computed under Subdivision (6); | ||
(9) adding any tax imposed in the 2021 tax year | ||
attributable to improvements made in the 2020 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (8); | ||
(10) multiplying the taxable value of the homestead in | ||
the 2021 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2021 tax year and the | ||
district's maximum compressed rate for the 2022 tax year; | ||
(11) subtracting the amount computed under | ||
Subdivision (10) from the amount computed under Subdivision (9); | ||
and | ||
(12) adding any tax imposed in the 2022 tax year | ||
attributable to improvements made in the 2021 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (11). | ||
(a-6) Notwithstanding the other provisions of this section, | ||
if in the 2022 tax year an individual qualifies for a limitation on | ||
tax increases provided by this section on the individual's | ||
residence homestead and the first tax year the individual or the | ||
individual's spouse qualified for an exemption under Section | ||
11.13(c) for the same homestead was the 2019 tax year, the amount of | ||
the limitation provided by this section on the homestead in the 2022 | ||
tax year is equal to the amount computed by: | ||
(1) multiplying the taxable value of the homestead in | ||
the 2019 tax year by a tax rate equal to the difference between the | ||
school district's maximum compressed rate for the 2019 tax year and | ||
the district's maximum compressed rate for the 2020 tax year; | ||
(2) subtracting the amount computed under Subdivision | ||
(1) from the amount of tax the district imposed on the homestead in | ||
the 2019 tax year; | ||
(3) adding any tax imposed in the 2020 tax year | ||
attributable to improvements made in the 2019 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (2); | ||
(4) multiplying the taxable value of the homestead in | ||
the 2020 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2020 tax year and the | ||
district's maximum compressed rate for the 2021 tax year; | ||
(5) subtracting the amount computed under Subdivision | ||
(4) from the amount computed under Subdivision (3); | ||
(6) adding any tax imposed in the 2021 tax year | ||
attributable to improvements made in the 2020 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (5); | ||
(7) multiplying the taxable value of the homestead in | ||
the 2021 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2021 tax year and the | ||
district's maximum compressed rate for the 2022 tax year; | ||
(8) subtracting the amount computed under Subdivision | ||
(7) from the amount computed under Subdivision (6); and | ||
(9) adding any tax imposed in the 2022 tax year | ||
attributable to improvements made in the 2021 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (8). | ||
(a-7) Notwithstanding the other provisions of this section, | ||
if in the 2022 tax year an individual qualifies for a limitation on | ||
tax increases provided by this section on the individual's | ||
residence homestead and the first tax year the individual or the | ||
individual's spouse qualified for an exemption under Section | ||
11.13(c) for the same homestead was the 2020 tax year, the amount of | ||
the limitation provided by this section on the homestead in the 2022 | ||
tax year is equal to the amount computed by: | ||
(1) multiplying the taxable value of the homestead in | ||
the 2020 tax year by a tax rate equal to the difference between the | ||
school district's maximum compressed rate for the 2020 tax year and | ||
the district's maximum compressed rate for the 2021 tax year; | ||
(2) subtracting the amount computed under Subdivision | ||
(1) from the amount of tax the district imposed on the homestead in | ||
the 2020 tax year; | ||
(3) adding any tax imposed in the 2021 tax year | ||
attributable to improvements made in the 2020 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (2); | ||
(4) multiplying the taxable value of the homestead in | ||
the 2021 tax year by a tax rate equal to the difference between the | ||
district's maximum compressed rate for the 2021 tax year and the | ||
district's maximum compressed rate for the 2022 tax year; | ||
(5) subtracting the amount computed under Subdivision | ||
(4) from the amount computed under Subdivision (3); and | ||
(6) adding any tax imposed in the 2022 tax year | ||
attributable to improvements made in the 2021 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (5). | ||
(a-8) Notwithstanding the other provisions of this section, | ||
if in the 2022 tax year an individual qualifies for a limitation on | ||
tax increases provided by this section on the individual's | ||
residence homestead and the first tax year the individual or the | ||
individual's spouse qualified for an exemption under Section | ||
11.13(c) for the same homestead was the 2021 tax year, the amount of | ||
the limitation provided by this section on the homestead in the 2022 | ||
tax year is equal to the amount computed by: | ||
(1) multiplying the taxable value of the homestead in | ||
the 2021 tax year by a tax rate equal to the difference between the | ||
school district's maximum compressed rate for the 2021 tax year and | ||
the district's maximum compressed rate for the 2022 tax year; | ||
(2) subtracting the amount computed under Subdivision | ||
(1) from the amount of tax the district imposed on the homestead in | ||
the 2021 tax year; and | ||
(3) adding any tax imposed in the 2022 tax year | ||
attributable to improvements made in the 2021 tax year as provided | ||
by Subsection (b) to the amount computed under Subdivision (2). | ||
(a-9) Notwithstanding the other provisions of this section, | ||
if in the 2023 or a subsequent tax year an individual qualifies for | ||
a limitation on tax increases provided by this section on the | ||
individual's residence homestead, the amount of the limitation | ||
provided by this section on the homestead is equal to the amount | ||
computed by: | ||
(1) multiplying the taxable value of the homestead in | ||
the preceding tax year by a tax rate equal to the difference between | ||
the school district's maximum compressed rate for the preceding tax | ||
year and the district's maximum compressed rate for the current tax | ||
year; | ||
(2) subtracting the amount computed under Subdivision | ||
(1) from the amount of tax the district imposed on the homestead in | ||
the preceding tax year; and | ||
(3) adding any tax imposed in the current tax year | ||
attributable to improvements made in the preceding tax year as | ||
provided by Subsection (b) to the amount computed under Subdivision | ||
(2). | ||
SECTION 2. This Act applies only to ad valorem taxes imposed | ||
for a tax year beginning on or after the effective date of this Act. | ||
SECTION 3. This Act takes effect January 1, 2022, but only | ||
if the constitutional amendment proposed by the 87th Legislature, | ||
1st Called Session, 2021, authorizing the legislature to provide | ||
for the reduction of the amount of a limitation on the total amount | ||
of ad valorem taxes that may be imposed for general elementary and | ||
secondary public school purposes on the residence homestead of a | ||
person who is elderly or disabled to reflect any statutory | ||
reduction from the preceding tax year in the maximum compressed | ||
rate of the maintenance and operations taxes imposed for those | ||
purposes on the homestead is approved by the voters. If that | ||
amendment is not approved by the voters, this Act has no effect. | ||
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