Bill Text: TX SB742 | 2021-2022 | 87th Legislature | Enrolled

Texas Senate Bill 742 (Prior Session Legislation)

Bill Title: Relating to installment payments of ad valorem taxes on property in a disaster area or emergency area.

Spectrum: Partisan Bill (Republican 5-0)

Status: (Passed) 2021-06-07 - Effective immediately [SB742 Detail]

Download: Texas-2021-SB742-Enrolled.html



	S.B. No. 742




	AN ACT
	relating to installment payments of ad valorem taxes on property in
	a disaster area or emergency area.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. The heading to Section 31.032, Tax Code, is
	amended to read as follows:
	Sec. 31.032. INSTALLMENT PAYMENTS OF TAXES ON PROPERTY IN
	DISASTER AREA OR EMERGENCY AREA THAT HAS BEEN DAMAGED AS A RESULT OF
	DISASTER OR EMERGENCY.
	SECTION 2. Section 31.032(a), Tax Code, is amended to read
	as follows:
	(a) This section applies only to:
	(1) real property that:
	(A) is:
	(i) the residence homestead of the owner or
	consists of property that is used for residential purposes and that
	has fewer than five living units; or
	(ii) owned or leased by a business entity
	that had not more than the amount calculated as provided by
	Subsection (h) in gross receipts in the entity's most recent
	federal tax year or state franchise tax annual period, according to
	the applicable federal income tax return or state franchise tax
	report of the entity;
	(B) is located in a disaster area or emergency
	area; and
	(C) has been damaged as a direct result of the
	disaster or emergency;
	(2) tangible personal property that is owned or leased
	by a business entity described by Subdivision (1)(A)(ii); and
	(3) taxes that are imposed on the property by a taxing
	unit before the first anniversary of the disaster or emergency.
	SECTION 3. Section 31.032(g), Tax Code, is amended by
	adding Subdivisions (3) and (4) to read as follows:
	(3) "Emergency" means a state of emergency proclaimed
	by the governor under Section 433.001, Government Code.
	(4) "Emergency area" means an area designated by the
	governor to be affected by an emergency under Section 433.001,
	Government Code.
	SECTION 4. Chapter 31, Tax Code, is amended by adding
	Section 31.033 to read as follows:
	Sec. 31.033. INSTALLMENT PAYMENTS OF TAXES ON PROPERTY IN
	DISASTER AREA OR EMERGENCY AREA THAT HAS NOT BEEN DAMAGED AS A
	RESULT OF DISASTER OR EMERGENCY. (a) In this section, "disaster,"
	"disaster area," "emergency," and "emergency area" have the
	meanings assigned by Section 31.032(g).
	(b) This section applies only to:
	(1) real property that:
	(A) is owned or leased by a business entity that
	had not more than the amount calculated as provided by Section
	31.032(h) in gross receipts in the entity's most recent federal tax
	year or state franchise tax annual period, according to the
	applicable federal income tax return or state franchise tax report
	of the entity;
	(B) is located in a disaster area or emergency
	area; and
	(C) has not been damaged as a direct result of the
	disaster or emergency;
	(2) tangible personal property that is owned or leased
	by a business entity described by Subdivision (1)(A); and
	(3) taxes that are imposed on the property by a taxing
	unit before the first anniversary of the disaster or emergency.
	(c) The governing body of a taxing unit may authorize a
	person to pay the taxing unit's taxes imposed on property that the
	person owns in installments. If the governing body of a taxing unit
	adopts the installment-payment option under this subsection,
	Sections 31.032(b), (b-1), (c), and (d) apply to the payment by a
	person of the taxing unit's taxes imposed on property that the
	person owns in the same manner as those subsections apply to the
	payment of taxes imposed on property to which Section 31.032
	applies.
	(d) The comptroller shall adopt rules to implement this
	section.
	SECTION 5. Section 33.08(b), Tax Code, is amended to read as
	follows:
	(b) The governing body of the taxing unit or appraisal
	district, in the manner required by law for official action, may
	provide that taxes that become delinquent on or after June 1 under
	Section 26.075(j), 26.15(e), 31.03, 31.031, 31.032, 31.033, 31.04,
	or 42.42 incur an additional penalty to defray costs of collection.
	The amount of the penalty may not exceed the amount of the
	compensation specified in the applicable contract with an attorney
	under Section 6.30 to be paid in connection with the collection of
	the delinquent taxes.
	SECTION 6. This Act takes effect immediately if it receives
	a vote of two-thirds of all the members elected to each house, as
	provided by Section 39, Article III, Texas Constitution. If this
	Act does not receive the vote necessary for immediate effect, this
	Act takes effect September 1, 2021.





	______________________________	______________________________
	President of the Senate	Speaker of the House

	I hereby certify that S.B. No. 742 passed the Senate on
	April 8, 2021, by the following vote: Yeas 30, Nays 0.


	______________________________
	Secretary of the Senate

	I hereby certify that S.B. No. 742 passed the House on
	May 20, 2021, by the following vote: Yeas 143, Nays 3, one
	present not voting.


	______________________________
	Chief Clerk of the House



	Approved:

	______________________________
	Date


	______________________________
	Governor