By: Bettencourt, et al.	S.B. No. 8

	A BILL TO BE ENTITLED
	AN ACT
	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.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 11.42, Tax Code, is amended by adding
	Subsection (f) to read as follows:
	(f)  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), for the
	applicable portion of that tax year immediately on qualification
	for the exemption if the preceding owner did not receive the same
	exemption for that tax year.
	SECTION 2.  Section 11.43(d), Tax Code, is amended to read as
	follows:
	(d)  To receive an exemption the eligibility for which is
	determined by the claimant's qualifications on January 1 of the tax
	year, a person required to claim an exemption must file a completed
	exemption application form before May 1 and must furnish the
	information required by the form. A person who after January 1 of a
	tax year acquires property that qualifies for an exemption covered
	by Section 11.42(d) or (f) must apply for the exemption for the
	applicable portion of that tax year before the first anniversary of
	the date the person acquires the property. For good cause shown the
	chief appraiser may extend the deadline for filing an exemption
	application by written order for a single period not to exceed 60
	days.
	SECTION 3.  Section 23.23, Tax Code, is amended by adding
	Subsection (c-1) to read as follows:
	(c-1)  For purposes of Subsection (c), an owner who receives
	an exemption as provided by Section 11.42(f) is considered to have
	qualified the property for the exemption as of January 1 of the tax
	year following the tax year in which the owner acquired the
	property.
	SECTION 4.  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(f), 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(f) 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 5.  Section 39.082, Education Code, is amended by
	adding Subsection (c-1) to read as follows:
	(c-1)  The system may not include an indicator under
	Subsection (b) or any other performance measure that penalizes a
	school district for failure to collect the amount of taxes equal to
	the total amount of tax refunds provided under Section 26.1115(c),
	Tax Code.
	SECTION 6.  Section 48.202, Education Code, is amended by
	adding Subsection (e-1) to read as follows:
	(e-1)  For purposes of this section, the total amount of
	maintenance and operations taxes collected by a school district
	includes the amount of taxes refunded under Section 26.1115(c), Tax
	Code.
	SECTION 7.  Subchapter F, Chapter 48, Education Code, is
	amended by adding Section 48.2541 to read as follows:
	Sec. 48.2541.  ADDITIONAL STATE AID FOR CERTAIN AD VALOREM
	TAX REFUNDS. For each school year, a school district, including a
	school district that is otherwise ineligible for state aid under
	this chapter, is entitled to state aid in an amount equal to the
	amount of all tax refunds provided under Section 26.1115(c), Tax
	Code.
	SECTION 8.  This Act applies only to a residence homestead
	acquired on or after the effective date of this Act.
	SECTION 9.  This Act takes effect January 1, 2022.