By Horn                                         H.B. No. 2655

      75R5864 JD-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the imposition of penalties for the failure to render

 1-3     property for ad valorem taxation.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter B, Chapter 22, Tax Code, is amended by

 1-6     adding Section 22.231 to read as follows:

 1-7           Sec. 22.231.  PENALTY FOR FAILURE TO DELIVER RENDITION

 1-8     STATEMENT OR PROPERTY REPORT.  (a)  A person required by this

 1-9     chapter to deliver a rendition statement or property report to the

1-10     chief appraiser is liable for a penalty if the person fails to

1-11     deliver the statement or report in the time required by this

1-12     chapter.

1-13           (b)  The amount of a penalty under Subsection (a) is an

1-14     amount equal to:

1-15                 (1)  10 percent of the appraised value for the tax year

1-16     of the property included on the statement or report if the person

1-17     delivers the statement or report after May 15 but before June 1; or

1-18                 (2)  25 percent of the appraised value for the tax year

1-19     of the property required to be included on the statement or report

1-20     if the person fails to deliver the statement or report before June

1-21     1.

1-22           (c)  If a rendition statement or property report required by

1-23     this chapter is delivered to the chief appraiser after May 15 but

1-24     before June 1, the chief appraiser shall:

 2-1                 (1)  enter in the appraisal records the appraised and

 2-2     taxable value of the property;

 2-3                 (2)  make an entry in the appraisal records for the

 2-4     property indicating liability for the penalty imposed under

 2-5     Subsection (b)(1); and

 2-6                 (3)  send a written notice of imposition of the penalty

 2-7     to the person who delivered the report or statement that includes

 2-8     an explanation for its imposition.

 2-9           (d)  If on or after June 1 the chief appraiser discovers that

2-10     a person required by this chapter to deliver a rendition statement

2-11     or property report has failed to deliver the statement or report

2-12     before June 1, the chief appraiser shall:

2-13                 (1)  appraise the property as of January 1 of the year

2-14     in which the person was required to deliver the statement or

2-15     report;

2-16                 (2)  enter in the appraisal records the appraised and

2-17     taxable value of the property;

2-18                 (3)  make an entry in the appraisal records for the

2-19     property indicating liability for the penalty imposed under

2-20     Subsection (b)(2); and

2-21                 (4)  send a written notice of imposition of the penalty

2-22     to the person required to deliver the report or statement that

2-23     includes an explanation for its imposition.

2-24           (e)  The amount of a penalty under this section:

2-25                 (1)  is the personal obligation of the person required

2-26     to deliver the rendition statement or property report; and

2-27                 (2)  constitutes a lien on the property to which the

 3-1     rendition statement or property report applies and accrues penalty

 3-2     and interest in the same manner as a delinquent tax on that

 3-3     property.

 3-4           (f)  This section does not apply to a rendition statement or

 3-5     property report required or permitted by Section 22.02 or 22.03.

 3-6           SECTION 2.  This Act takes effect January 1, 1998, and

 3-7     applies only to the rendition of property for ad valorem tax

 3-8     purposes on or after that date.

 3-9           SECTION 3.  The importance of this legislation and the

3-10     crowded condition of the calendars in both houses create an

3-11     emergency and an imperative public necessity that the

3-12     constitutional rule requiring bills to be read on three several

3-13     days in each house be suspended, and this rule is hereby suspended.