Bill Text: TX SB8 | 2021 | 87th Legislature 1st Special Session | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the authority of a person who acquires a residence homestead to receive an ad valorem tax exemption for the homestead in the year in which the property is acquired, and the protection of school districts against the resulting loss in revenue.
Spectrum: Moderate Partisan Bill (Republican 18-3)
Status: (Engrossed - Dead) 2021-07-16 - Co-author authorized [SB8 Detail]
Download: Texas-2021-SB8-Comm_Sub.html
Bill Title: Relating to the authority of a person who acquires a residence homestead to receive an ad valorem tax exemption for the homestead in the year in which the property is acquired, and the protection of school districts against the resulting loss in revenue.
Spectrum: Moderate Partisan Bill (Republican 18-3)
Status: (Engrossed - Dead) 2021-07-16 - Co-author authorized [SB8 Detail]
Download: Texas-2021-SB8-Comm_Sub.html
By: Bettencourt, et al. | S.B. No. 8 | |
(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 authority of a person who acquires a residence | ||
homestead to receive an ad valorem tax exemption for 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(d), Tax Code, is amended to read as | ||
follows: | ||
(d) A person who acquires property after January 1 of a tax | ||
year may receive an exemption authorized by Section 11.13, other | ||
than an exemption authorized by Section 11.13(c) or (d), 11.17, | ||
11.18, 11.19, 11.20, 11.21, 11.23, 11.231, or 11.30 for the | ||
applicable portion of that tax year immediately on qualification | ||
for the exemption. | ||
SECTION 2. 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(d), except as provided by Subsection (b) of this | ||
section, 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) of this section applies for a portion of a tax | ||
year as provided by Section 11.42(d) 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 3. This Act applies only to a residence homestead | ||
acquired on or after the effective date of this Act. | ||
SECTION 4. This Act takes effect January 1, 2022. | ||
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