Bill Text: TX SB175 | 2011-2012 | 82nd Legislature | Introduced


Bill Title: Relating to the limitation on increases in the appraised value of a residence homestead for ad valorem taxation.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2011-03-21 - Left pending in committee [SB175 Detail]

Download: Texas-2011-SB175-Introduced.html
  82R1695 SMH-D
 
  By: Nichols S.B. No. 175
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the limitation on increases in the appraised value of a
  residence homestead for ad valorem taxation.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 23.23, Tax Code, is amended by amending
  Subsection (a) and adding Subsection (g) to read as follows:
         (a)  Except as provided by Subsection (g), notwithstanding
  [Notwithstanding] the requirements of Section 25.18, and
  regardless of whether the appraisal office has appraised the
  property and determined the market value of the property for the tax
  year, an appraisal office may increase the appraised value of a
  residence homestead for a tax year to an amount not to exceed the
  lesser of:
               (1)  the market value of the property for the most
  recent tax year that the market value was determined by the
  appraisal office; or
               (2)  the sum of:
                     (A)  five [10] percent of the appraised value of
  the property for the preceding tax year;
                     (B)  the appraised value of the property for the
  preceding tax year; and
                     (C)  the market value of all new improvements to
  the property.
         (g)  The commissioners court of a county may call an election
  in the county to permit the voters of the county to determine
  whether a percentage limitation on maximum appraised value
  determined in the manner provided by Subsection (a)(2) using a
  percentage that is greater than the percentage specified by
  Subsection (a)(2)(A) but not more than 10 percent will apply to the
  taxation of a residence homestead in the county by each taxing unit
  having territory in the county. The election shall be held on the
  date of the next general election for state and county officers.
  The ballot proposition shall specify the proposed percentage
  limitation on maximum appraised value. If a majority of the votes
  cast at the election do not favor the establishment of the proposed
  limitation, a subsequent election under this subsection may not be
  held before the 10th year after the year in which the election is
  held. If a majority of the votes cast at the election favor the
  establishment of the proposed limitation, the limitation applies
  beginning with the tax year following the year in which the election
  is held and remains in effect until amended or repealed by the
  voters of the county at a subsequent election called by the
  commissioners court. An election to amend or repeal the limitation
  may not be held before the 10th year after the year in which the
  proposition establishing the limitation was approved by the voters.
  If the voters of a county amend or repeal a limitation, the
  amendment or repeal applies beginning with the tax year after the
  year in which the election is held.
         SECTION 2.  Section 42.26(d), Tax Code, is amended to read as
  follows:
         (d)  For purposes of this section, the value of the property
  subject to the suit and the value of a comparable property or sample
  property that is used for comparison must be the market value
  determined by the appraisal district when the property is a
  residence homestead subject to a [the] limitation on appraised
  value imposed by or established under Section 23.23.
         SECTION 3.  This Act applies only to the appraisal of a
  residence homestead for ad valorem tax purposes for a tax year that
  begins on or after January 1, 2012.
         SECTION 4.  This Act takes effect January 1, 2012, but only
  if the constitutional amendment proposed by the 82nd Legislature,
  Regular Session, 2011, authorizing the legislature to limit the
  maximum appraised value of a residence homestead for ad valorem tax
  purposes to 105 percent or less of the appraised value of the
  property for the preceding tax year and to permit the voters of a
  county to establish a higher limitation not to exceed 110 percent on
  the maximum appraised value of a residence homestead in the county
  is approved by the voters. If that amendment is not approved by the
  voters, this Act has no effect.
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