1-1 By: Cain S.B. No. 1210
1-2 (In the Senate - Filed March 11, 1999; March 11, 1999, read
1-3 first time and referred to Committee on Finance; April 16, 1999,
1-4 reported favorably by the following vote: Yeas 8, Nays 0;
1-5 April 16, 1999, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to the limitation of school district ad valorem taxes on
1-9 the residence homestead of an elderly person.
1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11 SECTION 1. Subsection (g), Section 11.26, Tax Code, as added
1-12 by Chapter 592, Acts of the 75th Legislature, Regular Session,
1-13 1997, is amended to read as follows:
1-14 (g) Except as provided by Subsections [Subsection] (b) and
1-15 (m), if an individual who receives a limitation on tax increases
1-16 imposed by this section on a residence homestead the person owned
1-17 and occupied as a homestead for at least 12 consecutive months
1-18 subsequently qualifies a different residence homestead for an
1-19 exemption under Section 11.13, a school district may not impose ad
1-20 valorem taxes on the subsequently qualified homestead in a year in
1-21 an amount that exceeds the amount of taxes the school district
1-22 would have imposed on the subsequently qualified homestead in the
1-23 first year in which the individual receives that exemption for the
1-24 subsequently qualified homestead had the limitation on tax
1-25 increases imposed by this section not been in effect, multiplied by
1-26 a fraction the numerator of which is the total amount of school
1-27 district taxes imposed on the former homestead that the person
1-28 owned and occupied as a homestead for at least 12 consecutive
1-29 months in the last year in which the individual received that
1-30 exemption for that [the] former homestead and the denominator of
1-31 which is the total amount of school district taxes that would have
1-32 been imposed on that [the] former homestead in the last year in
1-33 which the individual received that exemption for that [the] former
1-34 homestead had the limitation on tax increases imposed by this
1-35 section not been in effect. The limitation provided by this
1-36 subsection applies to each subsequently qualified homestead of the
1-37 individual until the individual owns and occupies a subsequently
1-38 qualified homestead for at least 12 consecutive months. After the
1-39 individual owns and occupies a subsequently qualified homestead for
1-40 at least 12 consecutive months, the taxes imposed on the former
1-41 residence homestead of the individual may not be used to determine
1-42 the limitation on taxes provided by this subsection for any later
1-43 residence homestead of the individual.
1-44 SECTION 2. Section 11.26, Tax Code, is amended by adding
1-45 Subsection (m) to read as follows:
1-46 (m) If school district taxes imposed on an individual's
1-47 residence homestead are limited as provided by Subsection (g) and
1-48 the individual's residence homestead was under construction on
1-49 January 1 of the first tax year in which the individual qualified
1-50 that homestead for an exemption under Section 11.13, the limitation
1-51 provided by Subsection (g) does not apply to the homestead after
1-52 that first year. In that event, a school district may not impose
1-53 ad valorem taxes on that homestead in:
1-54 (1) the succeeding tax year in an amount that exceeds
1-55 the amount of taxes the school district would have imposed on the
1-56 homestead in that succeeding tax year had the limitation on tax
1-57 increases imposed by this section not been in effect, multiplied by
1-58 the fraction specified by Subsection (g); and
1-59 (2) a tax year subsequent to the succeeding year in an
1-60 amount that exceeds the amount provided by Subdivision (1), except
1-61 as provided by Subsection (b).
1-62 SECTION 3. This Act takes effect January 1, 2000, and
1-63 applies only to the calculation of the limitation of school
1-64 district ad valorem taxes on the residence homestead of an elderly
2-1 person for a tax year beginning on or after that date.
2-2 SECTION 4. The importance of this legislation and the
2-3 crowded condition of the calendars in both houses create an
2-4 emergency and an imperative public necessity that the
2-5 constitutional rule requiring bills to be read on three several
2-6 days in each house be suspended, and this rule is hereby suspended.
2-7 * * * * *