By Madden                                             H.B. No. 2915
         77R8908 GJH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the ad valorem tax exemptions for the spouses and
 1-3     children of certain members of the armed forces.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 11.22, Tax Code, is amended by amending
 1-6     Subsection (d) and adding Subsection (i) to read as follows:
 1-7           (d)  If an individual dies while on active duty as a member
 1-8     of the armed services of the United States:
 1-9                 (1)  the individual's surviving spouse is entitled to
1-10     an exemption from taxation of $12,000 [$2,500] of the assessed
1-11     value of the property the spouse owns and designates as provided by
1-12     Subsection (f) [of this section]; and
1-13                 (2)  each of the individual's surviving children who is
1-14     younger than 18 years of age and unmarried is entitled to an
1-15     exemption from taxation of a portion of the assessed value of a
1-16     property the child owns and designates as provided by Subsection
1-17     (f) [of this section], the amount of exemption for each eligible
1-18     child to be computed by dividing $12,000 [$2,500] by the number of
1-19     eligible children.
1-20           (i)  The surviving spouse and each surviving child of a
1-21     deceased veteran who is entitled to dependency and indemnity
1-22     compensation under 38 U.S.C. Section 1301 et seq., and its
1-23     subsequent amendments, is entitled to an exemption from taxation of
1-24     $12,000 of the assessed value of a property that the spouse or
 2-1     child owns and designates as provided by Subsection (f).
 2-2           SECTION 2. This Act takes effect January 1, 2002, and applies
 2-3     only to taxes imposed for a tax year that begins on or after that
 2-4     date, but only if the constitutional amendment proposed by the 77th
 2-5     Legislature, Regular Session, 2001, to authorize an increase in the
 2-6     amount of the ad valorem tax exemptions for the surviving spouse
 2-7     and children of a member of the armed services of the United States
 2-8     who dies while on active duty and to authorize an ad valorem tax
 2-9     exemption for the surviving spouse and children of a veteran whose
2-10     death is service related is approved by the voters.  If that
2-11     amendment is not approved by the voters, this Act has no effect.
2-12           SECTION 3. To the extent of any conflict, this Act prevails
2-13     over another Act of the 77th Legislature, Regular Session, 2001,
2-14     relating to nonsubstantive additions and corrections in enacted
2-15     codes.