Bill Text: TX SB520 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to allowing persons acquiring a new residence homestead to receive an ad valorem tax exemption on the homestead in the year in which the property is acquired.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2013-03-04 - Referred to s/c on Fiscal Matters by Chair [SB520 Detail]
Download: Texas-2013-SB520-Introduced.html
83R5347 TJB-D | ||
By: Paxton | S.B. No. 520 |
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relating to allowing persons acquiring a new residence homestead to | ||
receive an ad valorem tax exemption on the homestead in the year in | ||
which the property is acquired. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 11.42, Tax Code, is amended by amending | ||
Subsection (c) and adding Subsection (c-1) to read as follows: | ||
(c) An exemption authorized by Section 11.13(c) or (d) is | ||
effective as of January 1 of the tax year in which the individual | ||
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year. If the individual acquired the property in that tax year, | ||
each other exemption authorized by Section 11.13 for which the | ||
individual qualifies the property in that tax year is also | ||
effective as of January 1 of the tax year and applies to the entire | ||
tax year. | ||
(c-1) If an individual acquires a property after January 1 | ||
of a tax year and qualifies the property during that tax year for | ||
one or more exemptions under Section 11.13, but the individual does | ||
not qualify for an exemption under Section 11.13(c) or (d) for any | ||
portion of that tax year and the property did not previously qualify | ||
for any exemption under Section 11.13 for any portion of that tax | ||
year, the individual may receive the exemptions for which the | ||
individual qualifies for the portion of that tax year for which the | ||
individual qualifies for the exemptions immediately on | ||
qualification for the exemptions. | ||
SECTION 2. Section 26.10(b), Tax Code, is amended to read as | ||
follows: | ||
(b) If the appraisal roll shows that a residence homestead | ||
exemption for an individual 65 years of age or older or a residence | ||
homestead exemption for a disabled individual applicable to a | ||
property on January 1 of a year terminated during the year and if | ||
the owner qualifies a different property for one of those residence | ||
homestead exemptions during the same year, the tax due against the | ||
former residence homestead is calculated by: | ||
(1) subtracting: | ||
(A) the amount of the taxes that otherwise would | ||
be imposed on the former residence homestead for the entire year had | ||
the individual qualified the property for each [ |
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homestead exemption the individual received on that property for | ||
the entire year; from | ||
(B) the amount of the taxes that otherwise would | ||
be imposed on the former residence homestead for the entire year had | ||
the individual not qualified for any [ |
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exemption on the property during the year; | ||
(2) multiplying the remainder determined under | ||
Subdivision (1) by a fraction, the denominator of which is 365 and | ||
the numerator of which is the number of days that elapsed after the | ||
date the exemption terminated; and | ||
(3) adding the product determined under Subdivision | ||
(2) and the amount described by Subdivision (1)(A). | ||
SECTION 3. Chapter 26, Tax Code, is amended by adding | ||
Section 26.1115 to read as follows: | ||
Sec. 26.1115. CALCULATION OF TAXES ON RESIDENCE HOMESTEAD | ||
GENERALLY. (a) If an individual receives one or more exemptions | ||
under Section 11.13 for a portion of a tax year as provided by | ||
Section 11.42(c-1), except as provided by Subsection (b), the | ||
amount of tax due on the property for that year is calculated by: | ||
(1) subtracting: | ||
(A) the amount of the taxes that otherwise would | ||
be imposed on the property for the entire year had the individual | ||
qualified for the exemptions for the entire year; from | ||
(B) the amount of the taxes that otherwise would | ||
be imposed on the property for the entire year had the individual | ||
not qualified for the exemptions during the year; | ||
(2) multiplying the remainder determined under | ||
Subdivision (1) by a fraction, the denominator of which is 365 and | ||
the numerator of which is the number of days in that year that | ||
elapsed before the date the individual first qualified the property | ||
for the exemptions; and | ||
(3) adding the product determined under Subdivision | ||
(2) and the amount described by Subdivision (1)(A). | ||
(b) If an individual receives one or more exemptions to | ||
which Subsection (a) applies for a portion of a tax year as provided | ||
by Section 11.42(c-1) and the exemptions terminate during the year | ||
in which the individual acquired the property, the amount of tax due | ||
on the property for that year is calculated by: | ||
(1) subtracting: | ||
(A) the amount of the taxes that otherwise would | ||
be imposed on the property for the entire year had the individual | ||
qualified for the exemptions for the entire year; from | ||
(B) the amount of the taxes that otherwise would | ||
be imposed on the property for the entire year had the individual | ||
not qualified for the exemptions during the year; | ||
(2) multiplying the remainder determined under | ||
Subdivision (1) by a fraction, the denominator of which is 365 and | ||
the numerator of which is the sum of: | ||
(A) the number of days in that year that elapsed | ||
before the date the individual first qualified the property for the | ||
exemptions; and | ||
(B) the number of days in that year that elapsed | ||
after the date the exemptions terminated; and | ||
(3) adding the product determined under Subdivision | ||
(2) and the amount described by Subdivision (1)(A). | ||
(c) If an individual qualifies to receive an exemption as | ||
described by Subsection (a) with respect to a property after the | ||
amount of tax due on the property is calculated and if the effect of | ||
the qualification is to reduce the amount of tax due on the | ||
property, the assessor for each taxing unit shall recalculate the | ||
amount of the tax due on the property and correct the tax roll. If | ||
the tax bill has been mailed and the tax on the property has not been | ||
paid, the assessor shall mail a corrected tax bill to the individual | ||
in whose name the property is listed on the tax roll or to the | ||
individual's authorized agent. If the tax on the property has been | ||
paid, the collector for the taxing unit shall refund to the | ||
individual who paid the tax the amount by which the payment exceeded | ||
the tax due. | ||
SECTION 4. Section 26.112(a), Tax Code, is amended to read | ||
as follows: | ||
(a) Except as provided by Section 26.10(b), if at any time | ||
during a tax year property is owned by an individual who qualifies | ||
for an exemption under Section 11.13(c) or (d), the amount of the | ||
tax due on the property for the tax year is calculated as if the | ||
individual [ |
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continued to qualify for the exemption for the remainder of the tax | ||
year. If the individual acquired the property in that tax year, the | ||
amount of the tax due on the property is calculated as if the | ||
individual qualified on January 1 for each exemption for which the | ||
individual qualifies the property in that tax year under Section | ||
11.13 and continued to qualify for each exemption for the remainder | ||
of the tax year. | ||
SECTION 5. This Act applies only to a residence homestead | ||
acquired on or after the effective date of this Act. | ||
SECTION 6. This Act takes effect January 1, 2014. |