By: Cain S.B. No. 1210
A BILL TO BE ENTITLED
AN ACT
1-1 relating to the limitation of school district ad valorem taxes on
1-2 the residence homestead of an elderly person.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subsection (g), Section 11.26, Tax Code, as added
1-5 by Chapter 592, Acts of the 75th Legislature, Regular Session,
1-6 1997, is amended to read as follows:
1-7 (g) Except as provided by Subsections [Subsection] (b) and
1-8 (m), if an individual who receives a limitation on tax increases
1-9 imposed by this section on a residence homestead the person owned
1-10 and occupied as a homestead for at least 12 consecutive months
1-11 subsequently qualifies a different residence homestead for an
1-12 exemption under Section 11.13, a school district may not impose ad
1-13 valorem taxes on the subsequently qualified homestead in a year in
1-14 an amount that exceeds the amount of taxes the school district
1-15 would have imposed on the subsequently qualified homestead in the
1-16 first year in which the individual receives that exemption for the
1-17 subsequently qualified homestead had the limitation on tax
1-18 increases imposed by this section not been in effect, multiplied by
1-19 a fraction the numerator of which is the total amount of school
1-20 district taxes imposed on the former homestead that the person
1-21 owned and occupied as a homestead for at least 12 consecutive
1-22 months in the last year in which the individual received that
1-23 exemption for that [the] former homestead and the denominator of
1-24 which is the total amount of school district taxes that would have
2-1 been imposed on that [the] former homestead in the last year in
2-2 which the individual received that exemption for that [the] former
2-3 homestead had the limitation on tax increases imposed by this
2-4 section not been in effect. The limitation provided by this
2-5 subsection applies to each subsequently qualified homestead of the
2-6 individual until the individual owns and occupies a subsequently
2-7 qualified homestead for at least 12 consecutive months. After the
2-8 individual owns and occupies a subsequently qualified homestead for
2-9 at least 12 consecutive months, the taxes imposed on the former
2-10 residence homestead of the individual may not be used to determine
2-11 the limitation on taxes provided by this subsection for any later
2-12 residence homestead of the individual.
2-13 SECTION 2. Section 11.26, Tax Code, is amended by adding
2-14 Subsection (m) to read as follows:
2-15 (m) If school district taxes imposed on an individual's
2-16 residence homestead are limited as provided by Subsection (g) and
2-17 the individual's residence homestead was under construction on
2-18 January 1 of the first tax year in which the individual qualified
2-19 that homestead for an exemption under Section 11.13, the limitation
2-20 provided by Subsection (g) does not apply to the homestead after
2-21 that first year. In that event, a school district may not impose
2-22 ad valorem taxes on that homestead in:
2-23 (1) the succeeding tax year in an amount that exceeds
2-24 the amount of taxes the school district would have imposed on the
2-25 homestead in that succeeding tax year had the limitation on tax
2-26 increases imposed by this section not been in effect, multiplied by
3-1 the fraction specified by Subsection (g); and
3-2 (2) a tax year subsequent to the succeeding year in an
3-3 amount that exceeds the amount provided by Subdivision (1), except
3-4 as provided by Subsection (b).
3-5 SECTION 3. This Act takes effect January 1, 2000, and
3-6 applies only to the calculation of the limitation of school
3-7 district ad valorem taxes on the residence homestead of an elderly
3-8 person for a tax year beginning on or after that date.
3-9 SECTION 4. 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.