By Staples H.B. No. 2964
76R3401 SMH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to limitations on the transfer of a school district ad
1-3 valorem tax freeze on the residence homestead of an elderly person.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 11.26(g), Tax Code, as added by Chapter
1-6 592, Acts of the 75th Legislature, Regular Session, 1997, is
1-7 amended to read as follows:
1-8 (g) Except as provided by Subsections [Subsection] (b) and
1-9 (m), if an individual who receives a limitation on tax increases
1-10 imposed by this section subsequently qualifies a different
1-11 residence homestead for an exemption under Section 11.13, a school
1-12 district may not impose ad valorem taxes on the subsequently
1-13 qualified homestead in a year in an amount that exceeds the amount
1-14 of taxes the school district would have imposed on the subsequently
1-15 qualified homestead in the first year in which the individual
1-16 receives that exemption for the subsequently qualified homestead
1-17 had the limitation on tax increases imposed by this section not
1-18 been in effect, multiplied by a fraction the numerator of which is
1-19 the total amount of school district taxes imposed on the former
1-20 homestead in the last year in which the individual received that
1-21 exemption for the former homestead and the denominator of which is
1-22 the total amount of school district taxes that would have been
1-23 imposed on the former homestead in the last year in which the
1-24 individual received that exemption for the former homestead had the
2-1 limitation on tax increases imposed by this section not been in
2-2 effect.
2-3 SECTION 2. Section 11.26, Tax Code, is amended by adding
2-4 Subsection (m) to read as follows:
2-5 (m) This subsection applies only to an individual who
2-6 receives a limitation on tax increases imposed by this section and
2-7 whose residence homestead had no taxable value for school district
2-8 ad valorem tax purposes in the year the individual first qualified
2-9 that homestead for an exemption under Section 11.13. If the
2-10 individual subsequently qualifies a different residence homestead
2-11 for an exemption under Section 11.13, the limitation provided by
2-12 Subsection (g) does not apply to the subsequently acquired
2-13 residence homestead and, except as provided by Subsection (b), a
2-14 school district may not impose ad valorem taxes on the subsequently
2-15 qualified homestead in a year in an amount that exceeds:
2-16 (1) 50 percent of the amount of taxes the school
2-17 district would have imposed on the subsequently qualified homestead
2-18 in the first year in which the individual receives that exemption
2-19 for the subsequently qualified homestead had the limitation on tax
2-20 increases imposed by this section not been in effect, if the
2-21 homestead has an appraised value of not more than $50,000 in that
2-22 year; or
2-23 (2) 75 percent of the amount of taxes the school
2-24 district would have imposed on the subsequently qualified homestead
2-25 in the first year in which the individual receives that exemption
2-26 for the subsequently qualified homestead had the limitation on tax
2-27 increases imposed by this section not been in effect, if the
3-1 homestead has an appraised value of more than $50,000 in that year.
3-2 SECTION 3. This Act takes effect January 1, 2000, and
3-3 applies only to the calculation of the limitation of school
3-4 district ad valorem taxes on the residence homestead of an elderly
3-5 person for a tax year beginning on or after that date.
3-6 SECTION 4. The importance of this legislation and the
3-7 crowded condition of the calendars in both houses create an
3-8 emergency and an imperative public necessity that the
3-9 constitutional rule requiring bills to be read on three several
3-10 days in each house be suspended, and this rule is hereby suspended.