By Horn H.B. No. 495 75R3220 JD-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the appraisal of an inventory for ad valorem tax 1-3 purposes. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 23.12(a), Tax Code, is amended to read as 1-6 follows: 1-7 (a) Except as provided by Sections 23.12A and 23.12D of this 1-8 code, the market value of an inventory is the price determined in 1-9 accordance with generally accepted accounting practices for which 1-10 it would sell as a unit to a purchaser who would continue the 1-11 business for which the inventory is used. An inventory shall 1-12 include residential real property which has never been occupied as 1-13 a residence and is held for sale in the ordinary course of a trade 1-14 or business, provided that the residential real property remains 1-15 unoccupied, is not leased or rented, and produces no income. 1-16 SECTION 2. This Act takes effect January 1, 1998. The 1-17 change in law made by this Act applies only to an appraisal of an 1-18 inventory for ad valorem tax purposes for a tax year that begins on 1-19 or after the effective date of this Act. The appraisal of an 1-20 inventory for ad valorem tax purposes for a tax year that began 1-21 before the effective date of this Act is governed by the law in 1-22 effect when the appraisal of the inventory was made, and the former 1-23 law is continued in effect for that purpose. 1-24 SECTION 3. The importance of this legislation and the 2-1 crowded condition of the calendars in both houses create an 2-2 emergency and an imperative public necessity that the 2-3 constitutional rule requiring bills to be read on three several 2-4 days in each house be suspended, and this rule is hereby suspended.